3 Tax-Smart Strategies for Real Estate Investing

Tax-efficient investing is crucial for real estate investors aiming to optimize returns and minimize tax liabilities. Three effective strategies are investing in Qualified Opportunity Zones (QOZs), Delaware Statutory Trusts (DSTs), and real estate funds. QOZs offer tax deferrals and potential tax-free gains after 10 years, while DSTs enable capital gains tax deferral and estate planning advantages. Real estate funds provide income potential and tax benefits like depreciation and interest deductions, making them appealing to accredited investors. QOZs may be particularly advantageous due to their unique combination of substantial tax incentives and the potential for long-term community impact.

Check out this article from CPA Practice Advisor's Dwight Kay