All Forum Posts by: Kyle Winther

@Nick C. - congrats on listing your property! There is no need to pay off the mortgage. You can go into a leveraged dst portfolio and replace the debt in your transaction. We have access to many different leveraged dst portfolios. Feel free to shoot me a DM, email, or call and would be happy to answer any further questions 

@Nick C.

Not a problem at all. Is your cabin currently listed for sale?

@Rj MoSab - We are a DST broker and have access to multiple dst companies. I would be happy to help you out. Send me a message and ill help answer any questions.

@Nick C. -It depends on the replacement property to want to acquire. The DST will provide you the passive income, but the current rates are around 3-5% because of the currently property values and the underwriting of the DST sponsors. I would say your strategy is good, you are saving on the capital gains tax. You will receive the passive income, and the potential appreciation when the DST property sells. You are parking your money and looking to get back into the real estate market when prices stabilize or come down. I talk to A LOT of clients who are utilizing this strategy. What i advise them to do is to 1031 exchange into a multifamily dst. Multifamily DST properties have a lower cash on cash return, but seeing larger appreciation than commercial properties. The average hold time for multifamily properties is coming down to the 3-5 years range, rather than the 5-7 year average.

I would be happy to discuss this with you in more detail anytime! 

Pasco is a strong DST company as well is Capital Square. If you invest into a reputable dst company like Inland, Pasco, Capital Square, etc. they have long standing track records. They have been through the 2008/2009 real estate crash. I wouldn't be concerned about bankruptcy with these large dst companies. It is is the smaller dst companies that are more at risk of going bankrupt. In the case of a dst company going bankrupt, they can utilize the springing LLC trust to spring out of the dst, refinance their mortgage, and spring back into the dst for another 10 year interest only financing.

Happy to touch on this in more detail if any one wants. :) 

Jeff,

A DST might be a good option for you. You can always take a portion of cash out of your QI account and the rest into a dst to defer the capital gains tax. If you have any questions, I would be happy to help!

Craig, are the properties you mentioned on the market?

We work with a few DST companies. There are some NNN dst offerings out right now, but with the pent up demand, the available equity and being swallowed up fast! Let me know if you have any questions, I would be happy to help!

If you do not want to manage another property then the 1031 DST route might be the best for you. The DST will provide you passive monthly income, deferral of capital gains tax, and participation in the appreciation on the DST properties. If you would like to learn more about the 1031 DST, I would be happy to discuss it with you. You can direct message me or email me - kyle at winthco dot com

@timothy - The DST (Delaware Statutory Trust) is a good way to defer the capital gains tax and utilize the leverage on some of the DST portfolios to cover your boot (debt) on the transaction. The DST will provide you passive monthly income, as well as the appreciation on the investment properties. There is a multifamily DST portfolio from Inland that has leverage on it. If you need more info, feel free to direct message me or email me directly and I can help you out. kyle at winthco dot com

@Matt,

You should really have a CPA run a tax projection for you. If there are substantial capital gains, then you should look at a 1031 exchange or a 1031 DST. We have a staff of CPA's that can help you with the tax projection. Feel free to direct message or email me - kyle at winthco dot com and I would be happy to help you out!