The 1031 DST Alternative
Learn how 1031 exchanges can help provide:
- Tax-deferral strategy
- Potential for competitive returns from rental income
- Potential for asset growth
- Reduced management responsibilities
- Ownership in quality real estate
- Diversification of real estate portfolio
- Several levels of due diligence
- Help to name a property in 45 days
The information in this website is offered for general educational and informational
purposes only and is not intended as a solicitation to buy or sell securities. None
of the information in this website is intended to give you specific tax, investment,
real estate, legal, estate, or financial advice, but rather to serve as an educational
platform. The information provided is not intended to show you how the strategies
presented can specifically apply to your own tax, investment, estate, or financial
position, but rather to offer an idea of how these principles generally may apply.
Before taking any steps to invest in a DST, or any other investment, you should
seek the advice of qualified professional tax, legal, and financial planning advisors
regarding your own financial situation.
Ownership in 1031 Delaware Statutory Trust Investments, known as DSTs, involves
obtaining a Beneficial Ownership Interest of a trust that owns real estate. Therefore,
these investments are subject to market, liquidity, income, and principal risks.
1031 DSTs are subject to costs and expenses, including commissions, offering and
organizational, due diligence, and management fees. FINRA Notice to Members 05-18
contains an explanation of the various risks associated with alternative 1031 real
estate investments, including costs and expenses, liquidity, tax consequences, and
investment objectives.
Investors should not invest in DST’s if they cannot afford to lose their entire
investment. Due to the lack of liquidity in every DST investment, DSTs are long
term investments. The current economic downturn and disruption in financial markets
has had a negative affect on real estate net income and values, including both TIC
and DST investments. There is no information available as to when, or if, the real
estate market will become less volatile, net income will improve, and/or property
values will stabilize.