What your accountant wants you do is the result of a famous tax court case in the early 1990s, Hospital Corp. of America vs. the Internal Revenue Service (IRS). The outcome for Hospital Corp. of America was “if the asset is unique to the business versus support and maintenance of the property it can be […]

Make sure the profile of real estate that the PMC manages is similar to the profile(s) of your real estate.
Make sure the PMC has sufficient depth to provide continuity.
Make sure the management style of the PMC is similar to your management style.

Your question prompts three other questions that result in three additional answers. The following questions and answers are based on complete due diligence and realistic and accurate evaluations.

Is the negative cash flow projected to increase? If the answer is yes, don’t buy.
Is the negative cash flow projected to remain the same? If the answer is […]

You’re not alone. Qualified Intermediaries all over the country are inviting real estate investors involved in or considering a 1031 exchange to put their funds into a TIC. They’re placing ads in the newspapers. They’re holding seminars. Why do the QIs have all this interest in TIC? Because they stand to make a lot of […]