The Solution: Delaware Statutory Trusts (DSTs)
A DST offers a powerful, IRS-approved strategy for property owners looking to defer taxes, simplify their investments, and create reliable income streams. Here’s how it works:
- Tax Deferral Through a 1031 Exchange: By reinvesting the proceeds from your sale into a DST, you can defer capital gains taxes, preserving more of your equity for future growth and income.
- Elimination of Management Hassles: A DST allows you to step away from the daily grind of property management. Professional asset managers handle everything, so you can enjoy truly passive income.
- Targets Stable and Predictable Income: DSTs are designed to provide consistent monthly income from high-quality, professionally managed properties. Depending on your situation, most of this income can be tax-sheltered, making it an attractive solution for retirement.
- Diversification and Security: Investing in a DST gives you access to a diversified portfolio of institutional-grade properties, such as multifamily housing, healthcare facilities, industrial buildings, and more. This diversification aims to reduce risk while targeting consistent returns.