Alternative Investments Beyond Traditional Stocks & Bonds

Most alternative real estate investments are available to accredited investors. An accredited investor is generally someone with an annual income of $200K+ (or $300K+ jointly) or a net worth exceeding $1M (excluding primary residence).

Investment minimums typically range from $25,000 to $100,000 depending on the specific opportunity. Some funds or offerings may have higher minimums for institutional-grade assets.

Most alternative real estate investments have limited liquidity and are designed for long-term hold periods (typically 5-10 years). REITs and some funds may offer the potential for more liquidity, but investors should plan to hold these investments to maturity.

Yes! Many alternative real estate investments, particularly DSTs and TICs, are specifically structured to qualify as replacement properties in 1031 exchanges. Our team can help you identify suitable options.

Passive real estate investing allows you to seek income from real estate without active management responsibilities. Through private funds, syndications, or DSTs, professional teams handle all property operations while you may have the potential for distributions and appreciation.

Real estate syndication is a partnership structure where a sponsor (general partner) identifies, acquires, and manages a property while passive investors (limited partners) provide capital. The sponsor typically contributes 5-20% of equity and handles all operations. Investors receive ownership shares proportional to their investment. Syndications are commonly structured as LLCs with defined profit-sharing arrangements (e.g., 70/30 split after preferred return). This model provides access to larger, professionally managed properties that would be difficult to acquire individually. Multifamily syndications are particularly popular for cash flow and appreciation potential.

Private placement real estate refers to investment opportunities offered to accredited investors outside of public markets. These include private real estate funds, syndications, and direct deals that provide access to institutional-quality properties with professional management and potential tax advantages.

Investment minimums typically range from $25,000 to $100,000 depending on the specific opportunity and structure. Private real estate funds may have higher minimums ($50,000-$250,000) while some syndications accept investments starting at $25,000. DSTs used for 1031 exchanges often require $100,000+ minimums. These thresholds allow sponsors to pool sufficient capital for institutional-quality acquisitions.

Passive real estate investments may offer several tax advantages: depreciation deductions that can offset income, potential for 1031 exchanges (particularly with DSTs) to defer capital gains, and pass-through treatment for certain structures. Real estate is also considered a "passive activity" for tax purposes, which may provide specific benefits. However, tax implications vary significantly based on your individual situation, investment structure, and holding period. Always consult with a qualified tax advisor to understand how these may apply to you.

Multifamily syndications offer direct ownership in specific properties with transparent fee structures and defined hold periods (typically 5-10 years). You know exactly which properties you own. REITs (Real Estate Investment Trusts) are publicly traded securities that own diversified portfolios, offering daily liquidity but less control and transparency. Syndications typically target higher potential returns but lack liquidity, while REITs provide easier exit options but may have lower return potential. Syndications are also limited to accredited investors, whereas REITs are available to all investors.