Potential Advantages & Disadvantages

Potential Advantages of DST 1031 Properties:

  • Defer 100% Of Your Capital Gains Taxes with 1031 DST Investments.
  • Ability to Diversify Your 1031 Exchange Equity into multiple 1031 DST investments!  (Please note that diversification does not guarantee profits nor guarantee against losses)
  • Management Free – No More Tenants, Toilets and Trash!
  • Multiple Asset Classes to Choose – Multifamily Apartments, Triple Net Leased Properties (NNN), All-Cash/Debt-Free Properties, Medical Properties, Pharmacies, Fast Food, Dialysis Centers, Etc.
  • Mitigate 1031 Exchange Closing Risk – Typically Close In As little As 3-5 Business Days On Our 1031 DST investments!
  • Tax-favored Current Income – Due to real estate depreciation and possible leveraging.
  • Step Up in Cost Basis on Death.

Potential Disadvantages of Real Estate NNN, DST, TIC Properties and 1031 Exchanges:

  • No Guarantees of Distributions or Appreciation
  • General Real Estate Risks of Real Estate Investing
  • Like Real Estate, DST Investments are Illiquid Investments
  • Possible Refinancing Risk or Lender Foreclosure
  • Risk Of A Loss Of Principal due to a Sponsor/Trustee To Make Management Decisions
  • US and Local Economic Risks