Do Property Management Issues Deter You from Investing in Real Estate?

Topics: 1031 Exchanges/DSTs

For investors that are not interested in the day-to-day management of an investment property, consider a Delaware statutory trust (DST) as a solution. DSTs provide the benefits of incorporating commercial real estate into an investment portfolio without the hassle of property management responsibilities. This is also known as a passive investment real estate strategy. Qualified investors can access a DST directly with cash or through a 1031 like-kind exchange.

passive-investment hand and keysA DST is a passive investment real estate strategy, in which investors can enjoy the benefits of owning property without the hassles.

 

DSTs typically provide professional property management and asset management teams that make all decisions regarding the property. These professional teams handle the turmoil that comes along with property management, such as the Terrible Ts: Tenants! Toilets! Trash! Termites!

With the implementation of active asset management, a team of real estate professionals analyze market trends, economic and political data and company-specific news. Taking an active approach, from acquisition to disposition of each property, adds value for tenants and increases potential earnings for the investor.

 

 

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The Basics

Below is a brief introduction to 1031 exchanges. Here you will gain knowledge about key benefits, basic rules and guidelines for successful implementation, and a hypothetical property sale example with and without a 1031 exchange.

 

Want a full view of ALL client assets? Here's a natural first step.