Real Estate Investors

Real Estate Investors

Real estate investments have a range of tax and financial implications that you and your wealth management advisors need to be aware of.  More important than how these potential issues impact your real estate holdings, is the greater benefit that can be realized when your real estate is incorporated into your total wealth management and financial planning strategy.  Some of the pieces we can help you consider are:

Real estate investments have a range of tax and financial implications that you and your wealth management advisors need to be aware of. 

More important than how these potential issues impact your real estate holdings, is the greater benefit that can be realized when your real estate is incorporated into your total wealth management and financial planning strategy. 

Some of the pieces we can help you consider are…

Asset Potential

As with any asset, it is important to be aware of the many factors that may impact a property’s value as part of your overall wealth.  We help you understand how an asset’s liquidity, appreciation potential, income, tax implications and opportunity costs interact with your other investments.

Cash Flow

Understanding personal cash flow is important for everyone but can warrant additional attention when real estate is heavily involved.  Property ownership can both increase demand on our resources and provide us with more to work with.  Cash flow health can also be the deciding factor when attempting to acquire more real assets and increase or enhance your portfolio.

Capital Gains Taxes

When a real estate investment is sold for a profit, capital gains taxes may apply.  Depending on the length of time the property was held and other factors, capital gains taxes can be significant. Our wealth management firm, in partnership with your legal and tax professionals, can help you minimize your capital gains tax liability through strategies like 1031 exchanges, DST’s, opportunity zone investments and other tax planning strategies.

Depreciation Recapture

You may be able to claim depreciation deductions on your tax returns, which can help you reduce taxable income.  However, when your property is sold, the amount of depreciation taken must be recaptured and reported as taxable income.  Our team can work with your tax professionals to help you navigate depreciation recapture and other tax issues related to real estate investments.

Passive Activity Rules

Real estate investments are often classified as passive activities for tax purposes, which means losses and deductions may be limited based on the investor’s other income and activities.  Our wealth management firm can help you look at all of your income streams and investments, allowing you to better navigate these rules and optimize your tax strategy based on your individual circumstances.

Diversification

One of the key factors of any portfolio is how the investments interact with one another.  By incorporating assets such as your real estate holdings along with stocks, bonds and investment funds, we can get a clearer picture of the various strengths and weaknesses of your holdings.  We use this information to implement best practices to create your individualized plan and help you accomplish your financial goals.

State & Local Taxes

Real estate investments can be subject to a range of state and local taxes, including property taxes, transfer taxes, and income taxes. Our team works with your CPAs to provide guidance on how these state and local tax issues impact your overall financial plan, helping you minimize your overall tax liability.

Estate & Gift Taxes

Real estate holdings can be subject to estate and gift taxes, which can have significant implications for you and your heirs. We work with your other professionals to provide estate planning services that consider real estate holdings, helping you minimize your estate and gift tax liability and ensure a smooth transfer of assets to future generations.

Asset Potential

As with any asset, it is important to be aware of the many factors that may impact a property’s value as part of your overall wealth.  We help you understand how an asset’s liquidity, appreciation potential, income, tax implications and opportunity costs interact with your other investments.

Cash Flow

Understanding personal cash flow is important for everyone but can warrant additional attention when real estate is heavily involved.  Property ownership can both increase demand on our resources and provide us with more to work with.  Cash flow health can also be the deciding factor when attempting to acquire more real assets and increase or enhance your portfolio.

Capital Gains Taxes

When a real estate investment is sold for a profit, capital gains taxes may apply.  Depending on the length of time the property was held and other factors, capital gains taxes can be significant. Our wealth management firm, in partnership with your legal and tax professionals, can help you minimize your capital gains tax liability through strategies like 1031 exchanges, DST’s, opportunity zone investments and other tax planning strategies.

Depreciation Recapture

You may be able to claim depreciation deductions on your tax returns, which can help you reduce taxable income.  However, when your property is sold, the amount of depreciation taken must be recaptured and reported as taxable income.  Our team can work with your tax professionals to help you navigate depreciation recapture and other tax issues related to real estate investments.

Passive Activity Rules

Real estate investments are often classified as passive activities for tax purposes, which means losses and deductions may be limited based on the investor’s other income and activities.  Our wealth management firm can help you look at all of your income streams and investments, allowing you to better navigate these rules and optimize your tax strategy based on your individual circumstances.

Diversification

One of the key factors of any portfolio is how the investments interact with one another.  By incorporating assets such as your real estate holdings along with stocks, bonds and investment funds, we can get a clearer picture of the various strengths and weaknesses of your holdings.  We use this information to implement best practices to create your individualized plan and help you accomplish your financial goals.

State & Local Taxes

Real estate investments can be subject to a range of state and local taxes, including property taxes, transfer taxes, and income taxes. Our team works with your CPAs to provide guidance on how these state and local tax issues impact your overall financial plan, helping you minimize your overall tax liability.

Estate & Gift Taxes

Real estate holdings can be subject to estate and gift taxes, which can have significant implications for you and your heirs. We work with your other professionals to provide estate planning services that consider real estate holdings, helping you minimize your estate and gift tax liability and ensure a smooth transfer of assets to future generations.

By working with our wealth management firm, you can access specialized expertise in real estate planning, helping you minimize your tax liability and optimize your overall wealth management strategy based on your individual circumstances.

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Wealth Management or Real Estate Consulting

Our calls are always relaxed and pressure-free.