US Property Investment
US REAL ESTATE PROPERTY INVESTMENTS
US Property Investment is a key requirement for a 1031 tax deferred real estate exchange. For a 1031 exchange to be valid, both the property being sold, (the Relinquished Property), and the property being acquired, (the Replacement Property), have to be located on US territory.
In addition, both properties need to be investment property real estate. Accordingly, in most cases, a personal residence is not an allowable like-kind property in a 1031 Tax Deferred Exchange.
The requirement that, in a 1031 Tax Deferred Exchange, US property investments are necessary, both in the case of the Relinquished and Replacement properties, is adhered to by the sponsoring entities who organize such fractional real estate ownership entities as Delaware Statutory Trust (DST) real estate investments.
Sourcenet Investment Services, LLC, our affiliate, is a nationally recognized advisor for the purchase of DST investments in order to satisfy the Replacement Property needs of real estate sellers who want to take advantage of a 1031 Exchange. It should also be noted that, in addition to being purchased as part of a 1031 Exchange, DST investments can be purchased for cash as stand-alone income-producing real estate investments, which also may include certain beneficial tax characteristics.
We update our list of available DST properties on a regular basis. In order to review the list of currently available DST investments, please register on our website: www.fai1031.com.