Low Fee DSTs for Your 1031 Exchange
Understanding DST Fees: A Clear Advantage with Baker 1031 Funds
Delaware Statutory Trusts (DSTs) offer investors a streamlined way to participate in real estate ownership, often as part of a 1031 exchange. Understanding the associated fees is crucial for evaluating any DST opportunity. This page will explain how DST fees generally work and highlight the distinct, investor-friendly approach offered by Baker 1031 Funds.
How DST Fees Typically Work
In other DST offerings, investors may encounter various fees throughout the lifecycle of the investment that impact their investment returns. These can include:
Acquisition Fees: Costs associated with identifying, negotiating, and purchasing the underlying property.
Due Diligence Fees: Expenses incurred for investigating the property and the transaction.
Asset Management Fees: Ongoing fees to manage the property, collect rent, and handle day-to-day operations.
Disposition Fees (Selling Expenses): Costs associated with selling the property at the end of the investment period, such as brokerage commissions and legal fees.
Upfront Fees: Some DSTs may charge fees at the time of investment.
Recurring Fees: Certain DSTs might have ongoing fees beyond asset management.
These fees can impact an investor's overall returns and require careful consideration when evaluating different DST opportunities.
The Baker 1031 Funds Difference: All-Inclusive and Transparent
Baker 1031 Funds takes a fundamentally different approach to fees, designed to simplify the investment process and maximize investor returns. Our DST offerings are fully inclusive of all essential costs associated with the investment lifecycle.
Acquisition Costs: These are entirely covered within the structure of the Baker 1031 Funds offered DSTs.
Disposition Costs: There are no out-of-pocket selling expenses charged to investors at the time the property is sold.
Ongoing Management Costs: All ongoing property management expenses are included.
This all-inclusive structure means no upfront, out-of-pocket expenses for these core services and no surprise selling expenses at the end of the investment.
Focus on Returns, Not Fees
The transparent and all-inclusive fee structure of Baker 1031 Funds empowers investors to analyze potential investments from a purely returns standpoint. You can evaluate the projected income and potential appreciation of the underlying asset without needing to dissect a complex web of fees.
This clarity allows for a more straightforward comparison of different investment opportunities within the Baker 1031 Funds portfolio.
More Returns in Your Pocket
Unlike some investment platforms or wealth managers who may charge additional upfront or recurring advisory fees, Baker 1031 Funds does not impose any such extra layers of fees. This means more of the investment's returns flow directly to you, the investor.
By eliminating these additional fee burdens, Baker 1031 Funds aims to provide a more efficient and potentially more profitable investment experience for those utilizing the 1031 exchange or seeking passive real estate ownership.
When considering DST investments, understanding the fee structure is paramount. Baker 1031 Funds' commitment to an all-inclusive model provides clarity, simplifies analysis, and ultimately aims to enhance investor returns.