Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Old 07-19-2020, 11:05 AM   #61
Thinks s/he gets paid by the post
CaliKid's Avatar
Join Date: Apr 2016
Location: Cali
Posts: 1,140
Originally Posted by kevdude View Post
Calmloki, I'm curious what you decided to do here.

Lately I've started looking at DST's and I think they could be decent investments, after all. It seems the sponsors probably do much better, but if you're fine with a 5%-6% return on your full investment after selling costs, i.e. no taxes, then it could make sense. Especially considering you still get all the tax advantages and and have a totally passive real estate investment. I don't think there would be much appreciation, though, since the offering prices that I've seen are quite a bit higher than the original investment in the properties.

I was looking at our returns on our equity in our properties and we are around 5%. Part of that, though, is due to the incredible appreciation we've seen in the Seattle area. So, if I'm fine with 5% while we are managing the properties ourselves, why not accept the 5% with no effort on our part?
This is how feel about DSTs also. You are paying high fees but you are taking a significant amount of work/stress off your plate. Most of us landlords are good at focusing on our good investments but not as good about remember how much that new HVAC really cost, how long that one unit was actually empty, how much that one eviction hurt, etc.... My eventual plan is to sell the rentals and diversify into a bunch of DST and similar investments.
Hoping to get out around September 1, 2022... I hope, I hope, I hope. Until then off to work I go....
CaliKid is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Retiring in a Million Dollar home or a Multi-million Dollar Home cyber888 Life after FIRE 112 08-29-2019 02:29 PM
Advice needed for taxable portfolio over 2 million Floridasky FIRE and Money 16 04-19-2014 07:12 AM
From 100 million to 4 million FANOFJESUS FIRE and Money 19 08-22-2009 11:15 AM
How to allocate taxable and non-taxable money? Olav23 FIRE and Money 6 01-10-2007 01:28 PM
Taxable or Non Taxable Seeker FIRE and Money 3 05-07-2005 11:23 AM

» Quick Links

All times are GMT -6. The time now is 06:55 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.