1031 Exchange Properties
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1031 exchange approved properties.
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BRIDGE FUND
9.0%Cash Flow
1031 CF BRIDGE FUND
Notes – Rolling Portfolio
9% Senior Secured Promissory Notes
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Data Center DST
5.0%Cash Flow
Data Center DST
La Mirada, CA
Mission-critical data center with new 15-year NN lease located in southeast Los Angeles County.
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Our Mission
Inspired Solutions Empowering Our Clients to Invest with Confidence
Our mission is to provide a state-of-the-art platform and resources so you can make confident investments. We offer a turn-key solution for your 1031 exchange to streamline your investment process while we handle the logistics. We personalize our services to your unique investment goals and needs to empower you throughout the investment process.
Perhaps the most significant advantage of Delaware Statutory Trusts is that the unanimous approval of the individual owners (investors) is not required in order to deal with unexpected, adverse developments. During the recent recession, which of course significantly affected the real estate market, some TIC structures were hindered from taking the necessary actions to mitigate loss, simply because one of the owners, a so-called "rogue investor," did not approve of the action desired by the majority. So while DST offerings are selected and structured to lessen the risk from such possibilities, all risk cannot be removed, and it is an additional protection to the investors that the signatory trustee is empowered to take necessary actions (restructure financing, renegotiate leases, sell the property, etc.) to reduce loss.
For investors considering selling real estate and reinvesting in a new property, a 1031 exchange could be a strategic solution to managing assets. Tax-deferred exchanges make it possible to directly reinvest profits from a relinquished property into a new property — without immediately needing to pay taxes on capital gains.
A DST 1031 exchange may be a valuable option to consider if you are an Accredited Investor. This designation applies to those who have an individual net worth or joint net worth exceeding $1 million, excluding the value of your primary residence, or an annual income of more than $200,000 or combined income of more than $300,000. If you qualify for this designation and meet the exchange criteria, you can defer taxes on your profits and put your money into a DST.
At 1031 Crowdfunding, we have solutions to make the exchange process easy and convenient. We provide a variety of straightforward options for acquiring new properties while reducing the time and effort the investment requires. Our innovative marketplace aligns with your financial management strategies through investment options that fit your needs.
The 45-day identification period can be a very stressful event as you navigate all the requirements and processes of research, documentation and due diligence. Our experienced team of professionals has created an online marketplace of vetted real estate properties to make finding properties more accessible.
Our 3-step process makes for a simple and straightforward 1031 exchange. Follow these steps to complete the 1031 Crowdfunding exchange process:
1. Browse our marketplace of properties.
Research available properties: When you join the 1031 Crowdfunding network, you have complete access to our innovative marketplace and 1031-eligible investment properties. We provide all the documentation, records and information you need for your due diligence.
2. Complete all paperwork online.
Fill out the paperwork online: We provide expert guidance for each step to ensure all your paperwork is correct so the process goes through efficiently.
3. Close in as little as 3-5 days.
Make your purchase: Because we offer already-purchased properties, you don't need to navigate any closing risk. Our system is so convenient that many of our clients close in only 3-5 days.
We Offer the Largest Selection of DSTs
To ensure you find the right investment options, we offer an extensive selection of Delaware Statutory Trusts (DSTs). Our innovative marketplace streamlines your search process for real estate that meets 1031 exchange criteria.
A Delaware Statutory Trust (DST) allows you to co-invest with other 1031 exchange investors in one or numerous institutional-grade properties. When you invest in a DST, you are assigned a fractional ownership of equity and debt, fulfilling your exchange requirements. You will receive a 1099 for ordinary income, 1098 allowing for mortgage interest write-off, and an operating statement or profit & loss statement for depreciation.
With a DST, investors can still enjoy the benefits of owning real estate without dealing with the day-to-day responsibilities of actively managing real estate. This type of investment removes the need to handle property operations or negotiations with contractors and real estate agents. At the same time, you enjoy the benefit of earning current monthly income with the potential for property appreciation. A DST can be an excellent solution for some investors who want to reinvest in more real estate without the obligations of being the sole owner.
DST Ownership Example
When you invest 1031 money into a DST, you take on partial ownership of the equity and debt. These sample clients' investments provide tangible examples of what your DST could potentially look like.
MAIN ST. APARTMENTS, DST
$20,000,000 Equity Offered / 7.0% Cash Flow / 60% LTV
Investor Spotlight
Smith Family - Sold Beach House
Exchanged into DST (10% Owner)
Equity $800,000
Debt $1,200,000
Total
$2,000,000
Investor Spotlight
Ben Berg - Sold Industrial Building
Exchanged into DST (15% Owner)
Equity $1,200,000
Debt $1,800,000
Total
$3,000,000
We Handle the Debt for You
One of the requirements for a 1031 exchange is to take on "equal or greater debt" in the replacement property to what you had in the property you are exchanging. A DST takes the headache out of arranging financing and already has non-recourse financing set up for you.
The DST secures non-recourse financing at favorable terms.
The DST assigns the pro-rata share of debt to the investor.
The DST assigns the benefits of the debt but retains the obligations. The debt is non–recourse to the investor. The investor does not need to qualify for the debt personally.
Investors can relax and know the debt is handled!
Investors fulfill their debt requirements without the headache associated with qualifying for and being liable for the debt obligations.
If you're reinvesting real estate funds through a 1031 exchange, our experienced professionals can guide you through the entire process. With a wide array of real estate properties available to our investor network, you can save time and reduce stress by making property investments through our accessible, convenient process.
1031 Crowdfunding reviews reflect our record of trustworthy service for our clients — it's why we've earned the rating of the #1 Real Estate Crowdfunding Platform for 1031 exchanges. Investors choose our services because our process makes 1031 exchanges more efficient and easy from the beginning stages of research through the final stages of real estate acquisition.
See for yourself how our services can simplify the exchange process. To get started, Join the Crowd today.
Still have questions? Call 844.533.1031
Latest Blog
01/25/2021
What is a 1031 Exchange Holding Period, ...
Today we will expand upon Holding Periods and how they pertain to 1031 exchanges.
A holding period, as we defined last week, is simply the period of time one owns an...
Read More...
01/20/2021
What is a Holding Period?
At 1031 Crowdfunding, we always strive to define the commonly used, but not-often-explained details of Delaware Statutory Trusts and 1031 Exchanges. Today we will look at Holding Periods.
Read More...
01/18/2021
10 Reasons to Consider a DST 1031 Exchan...
Last week we listed 5 reasons why we keep talking about Delaware Statutory Trusts. Here are 5 additional reasons we believe DSTs have become so popular among 1031 exchange investors:
Read More...
AUTHORIZED PARTNER
CrowdPay is an FDIC insured bank account that you can use to purchase investment opportunities. You fund your CrowdPay account by ACH or wire transfer. All future dividends, interest payments, as well as revenue sharing payments will be placed into your CrowdPay account. You have the option to transfer funds into the account, withdraw funds from the account, or purchase additional assets at any time.
The account is held by GoldStar Trust Company, a trust only branch of Happy State Bank, and cash that accumulates in your new CrowdPay account is FDIC insured. Please follow the below link for additional important information regarding your CrowdPay account.
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