
DSTs can help solve complicated tax issues
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You found a property you love to use as your replacement property, insure it with a DST in case your preferred deal implodes. You can do this by identifying a DST during the 45 Day ID period.
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Elimination of “Boot” example: I sold for $10 million, the replacement properties purchase price is $8 million. The $2 million is “boot.” Purchase a DST so you don’t have to pay a capital gain on the $2 million.
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Real estate is held in the dreaded S Corp & members want to separate. Some members want to do a 1031 and others want to receive the cash. There is a solution…
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How to create liquidity using a 1031 Exchange!
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Deed in Lieu of Foreclosure-If an investor returns the property to the bank, and the mortgage is non recourse the outstanding balance is considered a capital gain. A potential solution is to purchase a new property and complete a 1031 Exchange. You can pay the tax or make a new investment into real estate solving the tax burden.