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Property Owners Seeking Cash Flow

How To Maximize Your 1031 Exchange Opportunities

Virtually any property held for business or investment purposes can be a suitable replacement property for a 1031 exchange. If you’re looking for property near where you live, we typically recommend working with your local real estate professional. This also applies if you’re seeking a rental property in another location.

However, there comes a point in the real estate investment lifecycle where property owners want to “cash in their chips” and secure monthly income without the responsibilities of being a landlord. This is a common objective we hear from clients.

They’ve grown their assets and are either selling raw land to a developer, becoming weary of the complexities of multi-family properties, or simply tired of being landlords and dealing with toilets, trash, and tenants. Through 1031 Exchanges, they have deferred what is typically a significant capital gains tax bill. This deferral provides a major incentive to “swap till they drop,” allowing them to continue deferring this tax until their death. At that point, their heirs inherit the real estate holdings at a “stepped-up” cost basis, eliminating the large tax liability altogether.

Regardless of their previous investments, these property owners now seek dependable cash flow to sustain them for the rest of their days. Does this sound familiar? If so, you’re in the right place.

Exploring 1031 Exchange Options: More Than Just DSTs

Property Owners Seeking Cash Flow 2

Tips for Successful 1031 Exchanges in NNN Investments

At this stage, many property owners are unfamiliar with their investment options, particularly when seeking passive investments free from landlord responsibilities. The 1031 exchange industry itself is quite fragmented and doesn’t make this process easy.

First, property owners need a Qualified Intermediary (like us) to facilitate their exchange. However, Qualified Intermediaries typically only handle the 1031 process itself, leaving property owners wondering where to turn for 1031 investment options. Should they consult a financial advisor? A real estate agent? Or simply search the internet?

The niche nature of 1031 exchange investments means that very few agents and advisors are well-equipped to help property owners find suitable investment options. This often leads to internet searches, which can be challenging when you’re unsure of what you’re looking for.

Online searches for 1031 properties frequently lead to a popular investment format called the Delaware Statutory Trust (DST). While DSTs are a common 1031 investment option, they may not be the best fit for every situation. Due to their popularity, discovering other viable options can be difficult. Even if alternative options are found, the burden of identifying a suitable investment falls on the exchanger.

We at NNN 1031 have the best 1031 exchange properties for sale. Contact us to speak to one of our agents about some of the best 1031 investments available.

1031 Investment Landscape: Get a Complete View

By now, you might be asking yourself, “Where do I find 1031 investment properties?” In a sea of salespeople trying to push their products, 1031 Exchange Place takes a vastly different approach. We help our clients find suitable replacement property options with a team of industry pioneers boasting diverse backgrounds and decades of experience within the 1031 landscape. Our team includes DST specialists, commercial real estate brokers, and even proprietary TIC properties, offering a more unbiased and comprehensive representation of the options available to exchangers.

Instead of trying to shove a square peg into a round hole, we follow a holistic approach consisting of the following steps:

  1. Gain an understanding of our client’s situations and the parameters of their exchange.
  2. Learn more about their current and future investment objectives.
  3. Help clients understand the basics of the 1031 process.
  4. Review all potential investment formats and the pros and cons of each.
  5. Narrow down the most viable formats.
  6. Present and review suitable deals with clients.
 

We at NNN 1031 have the best 1031 exchange properties for sale. Contact us to speak to one of our agents about some of the best 1031 investments available.

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Call Us Today To Inquire About Our Properties At 813.624.1500