1031 Crowdfunding

1031 Crowdfunding is a specialized real estate investment platform that helps investors defer capital gains taxes through 1031 exchanges. It offers Delaware Statutory Trusts (DSTs), which allow investors to exchange the proceeds from selling a rental property into a passive, fractional ownership stake in high-quality commercial real estate.

The platform handles all the complex compliance required for a legal 1031 exchange. It is a legitimate and valuable tool for real estate investors looking to move from active landlord duties to passive income while preserving their tax-deferred status. They have facilitated over $1 billion in real estate transactions.

Frequently Asked Questions

1. What is a 1031 exchange?

A 1031 exchange is a section of the US tax code that allows you to sell an investment property and reinvest the proceeds into a "like-kind" property, deferring all capital gains taxes. It is a powerful wealth-building tool.

2. specific minimum investment?

The minimum investment is typically $25,000 for cash investments and $100,000 for 1031 exchange investments. This targets serious investors who have just sold a property.

3. Who can invest?

You must be an accredited investor to participate in DST offerings. This generally means having a net worth over $1 million or a high annual income.

4. Is it passive?

Yes, DSTs are completely passive. A professional sponsor manages the property, handles tenants, and sends you monthly distribution checks. You have no landlord responsibilities.

5. Can I invest cash?

Yes, you can invest cash directly into their real estate funds or REITs without doing a 1031 exchange. However, the platform's primary specialty is facilitating the tax-deferred exchange process.