Point Acquisitions Blog

If you’ve ever dreamed of investing in real estate but don’t have the deep pockets to finance a property, real estate syndication is the opportunity you’re looking for. By pooling funds with other investors, you can access larger, more lucrative real estate deals that would otherwise be out of reach.  Essentially, a sponsor or syndicator finds the investment opportunity, manages the property, and ensures that it generates income and appreciation. Meanwhile, you and your fellow investors provide the necessary capital and receive a share of the potential profits. It sounds like a win-win! Real estate syndication investment can be a…

If you’re looking to invest in commercial real estate, securing financing is one of the most important steps you’ll need to take. Commercial real estate loans can be complex, and the requirements can vary depending on several factors, including the type of property you’re looking to purchase, credit history, income the property generates, and the lender you’re working with.  There is in fact a laundry list of items, but understanding the ins and outs of commercial real estate loan requirements is critical to ensuring the ability to capitalize your investment successfully. This full guide will provide you with everything you…

When appraising a property, many different methods can be used to come up with an accurate estimate of the value. The income approach appraisal is a commonly used method, and it considers the potential income that can be generated from the property. In this post, we’ll take a look at the income approach and why it’s so important.  What Is the Income Approach? The income approach is one of the most commonly used methods for evaluating real estate investments. It involves analyzing potential cash flows to determine an asset’s or property’s present value. This approach requires a thorough understanding and…

If you’ve ever looked into purchasing land or real estate. You’ve likely come across two complicated terms: ground lease vs fee simple. While both agreements involve the transfer of real estate from one party to another, there are key differences that you should be aware of before embarking on either. What is a Ground Lease?  A ground lease is an agreement between a tenant and a landlord that grants exclusive possession of the property for an extended period. The tenant has exclusive rights to use and occupy the property for a specific purpose, such as operating a business or building…

Estimating the value of a commercial real estate can be quite intricate compared to residential property as professionals use various methods for valuation. An exact value is essential to find deals other investors have bypassed and steer clear of investing in overpriced assets.  In this competitive market knowing how to value commercial property is beneficial. Nailing down an accurate commercial real estate appraisal could give you the competitive edge needed to acquire a great deal. Why CRE Valuation is Important Real estate investments often hinge on the CRE investor’s calculated purchase price. Accurately pinpointing a commercial property’s fair market value…

With careful planning and expert guidance, savvy investors can use a 1031 Exchange to defer their capital gains taxes despite purchasing new construction. While IRS guidelines forbid using funds from an exchange for building projects, this creative maneuver allows investors significant flexibility in directing assets towards various investments, even up to double the value of the original property with the 1031 exchange 200% rule! Let’s take a closer look at 1031 exchange for new construction and why they could benefit your investments.  Can 1031 Exchange Funds Be Used For New Construction? Yes, 1031 Exchange Funds can be used for new…

Entering a 1031 exchange can be a smooth and efficient process with the help of a qualified intermediary (QI). These experts are essential for maintaining the tax-deferred status of a property exchange, ensuring that all steps from the initial sale to the purchase of replacement property comply with the Internal Revenue Code. Their role in managing the exchange funds and overseeing the transaction is important for any investor looking to leverage this powerful tax strategy. Here, we’ll outline the role of a 1031 exchange qualified intermediary and why their expertise is critical in a 1031 exchange. Key Takeaways What is…

Are you looking for a way to defer your capital gains taxes? 1031 exchange installment sales is a strategy that can be deployed. This tax-deferring strategy is a great way to maximize your profits by allowing you to shift the payment of capital gains taxes from one investment property or business to another replacement property. Knowing how 1031 exchanges work can aid you in saving on your taxes on commercial real estate sales as well as potentially benefit you lucratively when investing in real estate or running a business. Let’s dive into the details!  What Is a 1031 Exchange?  A…