Portland Oregon 1031 Exchange Services
Portland Oregon 1031 Professionals
Unfortunately, many property sponsors active in the DST space are post 2008 creations. This means they may not have been tested in the fires of recession. We believe this may have consequences for investment property equity and cash flow potential.
By the peak of the housing market bubble in 2008 (created by the Fed leaving interest rates too low, too long) demand for DST product in 1031 property exchanges exceeded supply. As such, the number of property sponsors skyrocketed.
Sadly for investors, most of these new additions to the DST sponsor mix were opportunistic with little background in real estate. The properties they brought to market to satisfy investor demand for return were below investment grade. When crunch time came and the economy tanked, they stopped performing.
Providing 1031 Tax-Deferred Exchange Services in Portland, OR.
For more on tax deferred exchanges, read our DST Guide here.
*As of March 1, 2020