A “lazy 1031” isn’t actually a 1031, it’s just using alternative methods to offset taxes you would otherwise have to pay on the sale of a property. For example, taking the gains from the sale and buying a mobile home park, then using cost segregation/accelerated depreciation to offset the impending tax bill from your property sale. All this being done during a calendar year, of course.
Great video! I have also heard this strategy referred to as "The Golden Hamster Wheel". I am pretty sure these two terms are talking about the same thing. This video did not really go into details or an example of the lazy 1031 though. From my understanding... basically, if you sell a property for 200k that you paid 100k for you would have 100k in gains to pay on. You would then find a property that cost 200k and then through bonus depreciation and cost segregation get 50% in depreciation. This will offset your 100k gain. This would all have to be done in the same year, and there would likely be some depreciation to recapture as well, but this example makes it simple to understand!
Lazy 1031X means you sell a property in a normal transaction and then you separate purchase more rentals in the same year and use the rental losses to offset the gain on the sold property. As long as it is done within the same year, there are no 45 day rules that you see in a traditional 1031X.
Brandon where have you been nice to hear from you, I bought my first property in August because of the fire you lit under my ___ you are the best motivator an I thank you peace ✌️
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. But yes...shots for everyone! 😅
There are no requirements in the lazy 1031 exchange since it is simply an offset strategy. The more rentals you purhcase, the higher the potential depreciation on the new property and thus the more tax offset may be available.
A great tip is to start shopping for replacement properties before you list your existing one for sale. You may even be able to get the replacement under contract prior to closing on the current property. Also...look into a "reverse 1031" exchange. That can work well in some instances.
It's not true that the new property needs to be of equal or greater value. Costs incurred to sell including rrenovations and closing costs can also be included in that total cost 1031 exchange capital gains offset.
How does this compare to taking a cash out refi to take the equity our for another investment without having to pay taxes while still maintaining ownership of the property? Seems like I would want to keep ownership the property I pulled equity from instead of selling it.
Yup...that is my personal preferred way and even better than a lazy 1031X. The lazy 1031 works well for investors who no longer want to own that original property.
My perspective is if the property is worth keeping, then that is generally better to tap into the equity vs sell. But if the property is no longer worth keeping, then consider tax deferrals like 1031x or lazy 1031x to bring down the tax bite
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. 😃
Wow! There's 16 minutes of my life that I'll never get back! I've got the utmost respect for Brandon and Amanda, but, my God, I've never heard two people talk so much about something without actually talking about it! I still have no clue what a "lazy 1031 exchange" is. I can only assume that you're 1031 exchanging your profit into a syndication instead of finding your own property to reinvest in. Correct?
😅Thanks for your comment and sorry we didnt spend too much time in defining the lazy 1031X. Brandon and I talk about it so much that I think we just skipped the foundational basics. We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. It can be a syndication or any other direct owned real estate that can provide tax losses (ie SFR, apartment, commercial RE) 😃
What If instead of selling your asset and paying commissions and closing costs, you just did a cash-out refinance to harvest some of the equity and redeploy into another income producing asset?
Love love love that too! I think that is where Brandon was going with this "return on equity" example. I personally just love to tap into the equity by not selling so I am totally on board with your thought process here.
@@davids2530gap to help. Under interest tracing rules, whether and where you deduct interest will depend on what the loan proceeds are used for. From a simplistic perspective, if you refinance out of a rental to purchase or rehab another rental, then the associated interest would be deducted against rental income. Alternatively, if you refinanced out of a rental property and use the proceeds for personal expenses, then often times the associated interest would be nondeductible personal items. Definitely consult with your tax advisor for anything that may apply to your unique situation.
I am trying to 1031 into a partnership but i will get a tax attorney because every time i look at it it seems like it has to be same entity to same entity
I usually ignore fan of you guys, this was super important topic for me, however i felt most of the video was talking about how 1031 is bad, then you rush when spoke about the lazy one, for someone not super smart like me i would love more explanation please 😍
1031x is not bad at all. It is a pillar strategy still. Lazy 1031x is for investors where the usual 1031x rules are t practical or when a 1031x attempt fails. We briefly outlined it around the 6:40 mark in the video. Lazy 1031 exchange is when you sell a rental and simply buy another property within the same year to use the new rental tax losses to offset the gain on the sold rental.
@@amandahancpaso to be clear. You’re just selling a property normally. Then buying another property before the year end that’s expensive enough to bonus depreciate and offset the gain from the first sale?
@@jwyn3085correct. So if you are talking real estate then it can be directly owned properties or assets in a syndication. This strategy can also be used when you invest in non real estate assets like passive businesses because assuming your rentals are passive, then passive losses from any other activities would be able to offset the gain on a sold rental. An example can be investing in a laundromat passively that kicks off depreciation
Some syndications are set-up to be able to take 1031 exchange money. If you are planning on selling a rental and want to exchange into a syndication, be sure to ask the sponsor if they are set-up to take exchange money. If they do not, you can look into the lazy 1031x method.
So if you do a 1031 do you NOT get to do the depreciation of the next properly? If so then why not do both instead of just taking the tax hit and using the depreciation of the next property to eat up that loss. Because couldn't use use that 1031 to not take the hit and then use the deprecation to offset future gains that you make on the next property income?
It depends on a lot of factors. If you do an even exchange (ie sell for $500k and buy one for $500k) then you get carryover basis. in other words, continue the depreciation basis from the originial property. Alternatively, if you trade up (ie sell for $500k and buy one for $800k), then you will have carryober basis and new basis to take more depreciation. Yes if you just sold a proeprty, you can buy more rentals and use those losses to offset the one already sold. That is the concept behind the lazy 1031X.
Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property.
@keystonecpas what happens with depreciation recapture? Second part is, If you depreciate a property and sell it using 1031 exchange, you'd still have depreciation recapture, correct?
@@AberrantArt yes there is deprecaition recapture but with a lazy 1031X strategy you may be able to offset some of that. If you do a 1031 exchange correctly, it is possible to have no depreciation recapture.
It really depends on what the investor is looking for. If looking to trade into similar asset class and not stressed out on timelines and keeping all the equity in the deal, then 1031x is more straightforward. Otherwise lazy 1031x may be better for investors who don’t want to be stressed about timelines and meeting all the purchase and equity requirements.
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. 😃
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. Because rental losses from one property can be used to offset the gain on sale of another rental, it helps to reduce the capital gains taxes as long as it occurs within the same tax year.😊
I possibly have 300k in equity in downtown Nashville in one property. However I average 30k gross income off of it. Yes, I'm looking for more. Currently looking in rust belt area. Help. Thanks.
If you want to keep the existing property and expect to have good continued cashflow and appreciation, then consider a cashout refi vs selling it. No taxes on refi proceeds and you can also deduct the interest on the loan as long as the proceeds are used to purchae more rentals =)
In a lazy 1031 exchange, there are no traditional timing requirements. The important part is to make sure the new property is purhcased and placed in service in the same year the original property is sold.
Legally a “lazy 1031 exchange” does not exist, false advertising for their syndicate/PrivatePlacement… What they are most likely referring to is a cost segregation study, where you can depreciate certain items extremely fast and combined with bonus depreciation ( it was 100% 2 yrs ago) you would have a HUGE enough passive loss to offset your capital gain. Which asset classes depreciate the fastest? Mobile homes, storages (thats why you see so many)…
How is the “lazy” 1031 exchange any more benefit than a standard 1031-exchange and subsequent property purchase? You still owe the capital gains and depreciation recapture on the disposed property (non 1031-exchange scenario). Yes you benefit from depreciation from a newly acquired property, but you’d have had the same benefit if you bought a replacement property with a 1031-exchange, and you’d not need to offset the sale of that property. That depreciation could be used to offset other income. I’m missing something here. Is this just a click-bait theory that doesn’t actually hold up?
The lazy 1031x is not “better”. If you can meet the timeline, purchase price, and equity requirements it is better to do a 1031x. The lazy 1031x is an alternative for investors who don’t want to or can’t do a 1031 (ie can’t get new favorable financing, want to get more passive by moving money into syndications, etc.). It is a way to still offset some of the taxes using this offset strategy. We also have clients use this when there is a failed or partially failed 1031x to rescue some of those tax dollars 😊
A reverse 1031 exchange can cost quite a bit more to do as they have to park the property usually in a LLC they form for that holding purpose@@keystonecpas
Come on guys...enough with this click bait non sense. You lose credibility this way. Not any information on this so called "lazy 1031". Extremely disappointed in this "marketing" tactic. Not coming back
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property.
Lol. Sounds like lazy 1031 exchange give me Grand Cardone Vibes. Put your money in my funds and mine it for you. Cant knock Brandon hustle, love info. Great episode.❤
Actually, the concept of lazy 1031X is not just limited to syndications. For example your replacment property in a lazy 1031X can be an apartment you own 100% or a mobile home park you own 100%. I feel we mainly see syndications as the replacment asset because ...well...some investors want to be more hands-off but still want to own RE. In other words "lazy"? lol!
Stay away from Brandon Turner ODC fund - invested 2 times with him 2021 and 2022 . Both properties are sinking ships: totally mismanaged and bought overpriced. He is a bullshitter marketer. Now he is not a CEO of ODC, stepping away. He is slowly crawling away from resposibility. SCAM.
I don't understand how Brandon sleeps at night contributing to making the people that live in his trailer parks unaffordable. They have to abandon homes because they can't afford the rent that his company ends up raising. Who knows how many homeless individuals have been caused by his real estate company
I would imagine his syndication improves the mobile home parks justifying the raising of rents. Or it is possilble that these parks have not stayed up with inflation in the raising of rents and it is time for rents to increase (something a prior owner didn't bother to do). I wouldn't accuse Brandon of "contributing to homelessness".
@@davidrobinson1201 it's the cheapest type of rent that exists in the United States. If his company targeted owing mobile home parks because he knows the renters can't leave(which he admitted) then yes it's predatory. He talked about how the trailers are expensive to move and if his company raises the rent most likely those that can't afford the rent will just abandon their home because they can't pay the moving cost. Then he takes those trailers for free and rents them out. It's really disgusting how he talked about it.
Lots of bragging with little content. Maybe change the video title to suggest that it's primarily an interview with a rich guy and how much money he has. You can't keep "trading up" like that unless you have huge funds on the side, or massive borrowing power, so the video isn't helpful for the audience.
I agree that the video didn't clarify the difference between regular 1031 and lazy 1031, but the comments cleared that up for me. Thanks, everyone.
happy to help and we apologize it was not super detailed in the video 🙂
Great content on 1031 exchange with BT. Thanks Amanda & BP for having BT on!
Aw....happy to help!! It is always fun recording with Brandon...he gets so excited about RE and taxes. 🤣
Is it just me or did I miss how is traditional 1031 different from a lazy 1031?
A “lazy 1031” isn’t actually a 1031, it’s just using alternative methods to offset taxes you would otherwise have to pay on the sale of a property. For example, taking the gains from the sale and buying a mobile home park, then using cost segregation/accelerated depreciation to offset the impending tax bill from your property sale. All this being done during a calendar year, of course.
Not just you...guess I've also got too used to David's extreme clarity in the podcast 😂
Thanks for that explanation! They never explained the lazy 1031 -which was the TITLE OF THE VIDEO! 😂
No problem! She did briefly outline it from 6:38-6:50 in the video, but it wasn’t extremely clear or particularly detailed.
@@baischgolfer Thanks for the comment! 😃
Great video! I have also heard this strategy referred to as "The Golden Hamster Wheel". I am pretty sure these two terms are talking about the same thing. This video did not really go into details or an example of the lazy 1031 though. From my understanding... basically, if you sell a property for 200k that you paid 100k for you would have 100k in gains to pay on. You would then find a property that cost 200k and then through bonus depreciation and cost segregation get 50% in depreciation. This will offset your 100k gain. This would all have to be done in the same year, and there would likely be some depreciation to recapture as well, but this example makes it simple to understand!
Thanks! Yeah their explanation was pretty bad.
Welcome!@@zacharyzero
There was no explanation whatsoever! In 16 minutes? Thanks Daniel!
Thanks for the great explanation to help us clarify this part. Next time we will spend more time on the definition of it ☺
@@zacharyzero lol! Sorry...I dont know if our explanation was edited out or if we just got excited talking about the details in our minds
Didn't get how a lazy 1031 is different. How do you get around the 45 day rule etc?
Lazy 1031X means you sell a property in a normal transaction and then you separate purchase more rentals in the same year and use the rental losses to offset the gain on the sold property. As long as it is done within the same year, there are no 45 day rules that you see in a traditional 1031X.
@@keystonecpas thank you for explaining this. I was lost too.
@@keystonecpas What's an example of rental losses?
@@ledisalbert3426 An example of rental losses could be depreciation maximized from a syndication investment or any other rental.
Brandon where have you been nice to hear from you, I bought my first property in August because of the fire you lit under my ___ you are the best motivator an I thank you peace ✌️
Take a shot every time they say "1031" without explaining what a lazy 1031 is.
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. But yes...shots for everyone! 😅
How could you offset capital gain with passive loss (from depreciation)?@@keystonecpas
@@keystonecpas But. this does't work if you'll be using borrowed monies correct?
@@ledisalbert3426 If you mean borrowing money to invest in syndications then yes generally that works as well.
Brandon always has amazing positive energy
That he does!
Great episode, love all the upbeat positive energy 🎉
Thanks! glad you enjoyed watching Amanda and Brandon!
With the lazy 1031 does all the proceeds need to usedin new purchase as in the regular 1031?
There are no requirements in the lazy 1031 exchange since it is simply an offset strategy. The more rentals you purhcase, the higher the potential depreciation on the new property and thus the more tax offset may be available.
Would this strategy still work if bonus depreciation is being phased out?
Yes it could although make sure you run the numbers with your CPA to see how much depreciation your new property is expected to generate.
The way I clicked so fast when I saw Brandon pop out 🎉
aw...so sweet!
Oh yeah we recently used the traditional 1031 and it was way too stressful.
A great tip is to start shopping for replacement properties before you list your existing one for sale. You may even be able to get the replacement under contract prior to closing on the current property. Also...look into a "reverse 1031" exchange. That can work well in some instances.
must it be rental and how do you get money out of it i understand you can built wealth but how to get money from it in meantime ? Thank You
It's not true that the new property needs to be of equal or greater value. Costs incurred to sell including rrenovations and closing costs can also be included in that total cost 1031 exchange capital gains offset.
How does this compare to taking a cash out refi to take the equity our for another investment without having to pay taxes while still maintaining ownership of the property? Seems like I would want to keep ownership the property I pulled equity from instead of selling it.
Yup...that is my personal preferred way and even better than a lazy 1031X. The lazy 1031 works well for investors who no longer want to own that original property.
So Brandon why selling instead of refinancing ? Keep properties that are producing and aquiete new ones?
My perspective is if the property is worth keeping, then that is generally better to tap into the equity vs sell. But if the property is no longer worth keeping, then consider tax deferrals like 1031x or lazy 1031x to bring down the tax bite
can you sell a home which was purchased on a 1031 and payoff another home which was purchase on 1031 .... to be debt free?
Wait! So what is a lazy 1031 exchange?
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. 😃
Is this just an internal term for an UPREIT? Or is this different?
Wow! There's 16 minutes of my life that I'll never get back! I've got the utmost respect for Brandon and Amanda, but, my God, I've never heard two people talk so much about something without actually talking about it! I still have no clue what a "lazy 1031 exchange" is. I can only assume that you're 1031 exchanging your profit into a syndication instead of finding your own property to reinvest in. Correct?
😅Thanks for your comment and sorry we didnt spend too much time in defining the lazy 1031X. Brandon and I talk about it so much that I think we just skipped the foundational basics. We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. It can be a syndication or any other direct owned real estate that can provide tax losses (ie SFR, apartment, commercial RE) 😃
@@keystonecpaswhy same year? Oh you get full year depreciation even if buying in December. 😮
@@HappyPenguin75034the same year so that the tax loss in that year can offset the gain in that year.
What If instead of selling your asset and paying commissions and closing costs, you just did a cash-out refinance to harvest some of the equity and redeploy into another income producing asset?
Love love love that too! I think that is where Brandon was going with this "return on equity" example. I personally just love to tap into the equity by not selling so I am totally on board with your thought process here.
@@keystonecpasplease discuss the tax ramifications (e.g. limits on deducting mortgage interest if it’s not the initial purchase mortgage)
@@davids2530gap to help. Under interest tracing rules, whether and where you deduct interest will depend on what the loan proceeds are used for. From a simplistic perspective, if you refinance out of a rental to purchase or rehab another rental, then the associated interest would be deducted against rental income. Alternatively, if you refinanced out of a rental property and use the proceeds for personal expenses, then often times the associated interest would be nondeductible personal items. Definitely consult with your tax advisor for anything that may apply to your unique situation.
@@davids2530a mortgage is a mortgage. Tax deductible.
Whose here to see Brandon ❤
me 🙋♀🤣
Brandon!!! Omg... I am crying. I didn't know how much I missed seeing you! Glad you're just busy getting richer...lol.
I am trying to 1031 into a partnership but i will get a tax attorney because every time i look at it it seems like it has to be same entity to same entity
I usually ignore fan of you guys, this was super important topic for me, however i felt most of the video was talking about how 1031 is bad, then you rush when spoke about the lazy one, for someone not super smart like me i would love more explanation please 😍
1031x is not bad at all. It is a pillar strategy still. Lazy 1031x is for investors where the usual 1031x rules are t practical or when a 1031x attempt fails. We briefly outlined it around the 6:40 mark in the video. Lazy 1031 exchange is when you sell a rental and simply buy another property within the same year to use the new rental tax losses to offset the gain on the sold rental.
@@amandahancpaso to be clear. You’re just selling a property normally. Then buying another property before the year end that’s expensive enough to bonus depreciate and offset the gain from the first sale?
@@jwyn3085correct. So if you are talking real estate then it can be directly owned properties or assets in a syndication. This strategy can also be used when you invest in non real estate assets like passive businesses because assuming your rentals are passive, then passive losses from any other activities would be able to offset the gain on a sold rental. An example can be investing in a laundromat passively that kicks off depreciation
The discussion about what a lazy 1031 is starts at 6:38
It seemed like you can 1031 into a syndication deal until it was time for you to pull funds out to get something else?
Some syndications are set-up to be able to take 1031 exchange money. If you are planning on selling a rental and want to exchange into a syndication, be sure to ask the sponsor if they are set-up to take exchange money. If they do not, you can look into the lazy 1031x method.
So if you do a 1031 do you NOT get to do the depreciation of the next properly? If so then why not do both instead of just taking the tax hit and using the depreciation of the next property to eat up that loss. Because couldn't use use that 1031 to not take the hit and then use the deprecation to offset future gains that you make on the next property income?
It depends on a lot of factors. If you do an even exchange (ie sell for $500k and buy one for $500k) then you get carryover basis. in other words, continue the depreciation basis from the originial property. Alternatively, if you trade up (ie sell for $500k and buy one for $800k), then you will have carryober basis and new basis to take more depreciation. Yes if you just sold a proeprty, you can buy more rentals and use those losses to offset the one already sold. That is the concept behind the lazy 1031X.
@keystonecpas ok thank you for the clarification :-)
happy to help 🙂@@buildingAbiz
What is a "Lazy 1031"???? 🤔
Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property.
@keystonecpas what happens with depreciation recapture? Second part is, If you depreciate a property and sell it using 1031 exchange, you'd still have depreciation recapture, correct?
@@AberrantArt yes there is deprecaition recapture but with a lazy 1031X strategy you may be able to offset some of that. If you do a 1031 exchange correctly, it is possible to have no depreciation recapture.
@keystonecpas so it sounds like original 1031 is superior. Is that correct?
It really depends on what the investor is looking for. If looking to trade into similar asset class and not stressed out on timelines and keeping all the equity in the deal, then 1031x is more straightforward. Otherwise lazy 1031x may be better for investors who don’t want to be stressed about timelines and meeting all the purchase and equity requirements.
You guys never explained what a lazy 1031 actually is or how you can stretch it out 1 year
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. 😃
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property. Because rental losses from one property can be used to offset the gain on sale of another rental, it helps to reduce the capital gains taxes as long as it occurs within the same tax year.😊
I possibly have 300k in equity in downtown Nashville in one property. However I average 30k gross income off of it. Yes, I'm looking for more. Currently looking in rust belt area. Help. Thanks.
If you want to keep the existing property and expect to have good continued cashflow and appreciation, then consider a cashout refi vs selling it. No taxes on refi proceeds and you can also deduct the interest on the loan as long as the proceeds are used to purchae more rentals =)
Why would you have a year to figure out a 1031? I thought it’s 45 days you need to identify it
In a lazy 1031 exchange, there are no traditional timing requirements. The important part is to make sure the new property is purhcased and placed in service in the same year the original property is sold.
Too fast - slow down and explain the concepts clearer
Legally a “lazy 1031 exchange” does not exist, false advertising for their syndicate/PrivatePlacement… What they are most likely referring to is a cost segregation study, where you can depreciate certain items extremely fast and combined with bonus depreciation ( it was 100% 2 yrs ago) you would have a HUGE enough passive loss to offset your capital gain. Which asset classes depreciate the fastest? Mobile homes, storages (thats why you see so many)…
How is the “lazy” 1031 exchange any more benefit than a standard 1031-exchange and subsequent property purchase?
You still owe the capital gains and depreciation recapture on the disposed property (non 1031-exchange scenario). Yes you benefit from depreciation from a newly acquired property, but you’d have had the same benefit if you bought a replacement property with a 1031-exchange, and you’d not need to offset the sale of that property. That depreciation could be used to offset other income.
I’m missing something here. Is this just a click-bait theory that doesn’t actually hold up?
The lazy 1031x is not “better”. If you can meet the timeline, purchase price, and equity requirements it is better to do a 1031x. The lazy 1031x is an alternative for investors who don’t want to or can’t do a 1031 (ie can’t get new favorable financing, want to get more passive by moving money into syndications, etc.). It is a way to still offset some of the taxes using this offset strategy. We also have clients use this when there is a failed or partially failed 1031x to rescue some of those tax dollars 😊
@@amandahancpa Thanks for expanding on this Amanda. This fits with my previous understanding.
Reverse 1031 exchanges also are a viable option
Yup reverse 1031 exchange definitely takes some of the stress out of a traditional 1031 exchange. This is especially helpful in a sellers' market.
A reverse 1031 exchange can cost quite a bit more to do as they have to park the property usually in a LLC they form for that holding purpose@@keystonecpas
Come on guys...enough with this click bait non sense. You lose credibility this way. Not any information on this so called "lazy 1031". Extremely disappointed in this "marketing" tactic. Not coming back
Still don't know what a lazy 1031 is...
We briefly outlined it from 6:38-6:50 in the video. Lazy 1031 exchange is when you sell a rental in a normal transaction and you simply buy more rentals in the same year and use depreciation from the new properties to offset the gain on the sold property.
He is an OPM guy, like other richers. They don’t say s…
Lol. Sounds like lazy 1031 exchange give me Grand Cardone Vibes. Put your money in my funds and mine it for you.
Cant knock Brandon hustle, love info. Great episode.❤
Actually, the concept of lazy 1031X is not just limited to syndications. For example your replacment property in a lazy 1031X can be an apartment you own 100% or a mobile home park you own 100%. I feel we mainly see syndications as the replacment asset because ...well...some investors want to be more hands-off but still want to own RE. In other words "lazy"? lol!
Stay away from Brandon Turner ODC fund - invested 2 times with him 2021 and 2022 . Both properties are sinking ships: totally mismanaged and bought overpriced. He is a bullshitter marketer. Now he is not a CEO of ODC, stepping away. He is slowly crawling away from resposibility. SCAM.
I don't understand how Brandon sleeps at night contributing to making the people that live in his trailer parks unaffordable. They have to abandon homes because they can't afford the rent that his company ends up raising. Who knows how many homeless individuals have been caused by his real estate company
Greed will get paid back at death.
I would imagine his syndication improves the mobile home parks justifying the raising of rents. Or it is possilble that these parks have not stayed up with inflation in the raising of rents and it is time for rents to increase (something a prior owner didn't bother to do). I wouldn't accuse Brandon of "contributing to homelessness".
@@davidrobinson1201 it's the cheapest type of rent that exists in the United States. If his company targeted owing mobile home parks because he knows the renters can't leave(which he admitted) then yes it's predatory. He talked about how the trailers are expensive to move and if his company raises the rent most likely those that can't afford the rent will just abandon their home because they can't pay the moving cost. Then he takes those trailers for free and rents them out. It's really disgusting how he talked about it.
Lots of bragging with little content. Maybe change the video title to suggest that it's primarily an interview with a rich guy and how much money he has. You can't keep "trading up" like that unless you have huge funds on the side, or massive borrowing power, so the video isn't helpful for the audience.