All Forum Posts by: Jorge Perez

@Scott Green thanks for the in depth depreciation information. I will speak to my CPA about it to craft a better strategy. Appreciate the reply.

@Dave Foster Great insight Dave. The Orlando area in my opinion is going to continue to see growth. Do you have any professional connections/realtors that specialize in investment real estate that you could recommend? Thanks again.

Hey guys and gals. I have a 1031 Exchange in my near future and in my market specifically(Miami) prices and therefore cap rates are out of control and ROI's are not favorable.

Any investors out there familiar with other markets in Florida that are promising and you are having success with at the moment or speculating growth in the future other than Orlando/Tampa in multi family assets?

Thank you in advance for the insight.

@Ola Dantis thank you for the reply the 1031X is the option I’m leaning into.

@Carl Fischer I wish I had a crystal ball, it would make life a lot easier albeit a lot less fun! Splitting some funds of is a viable option and something I will take into consideration.

@Eric Mayer I hope you are right but I’m just afraid of political climate around 2022 and beyond, plus geopolitical environment on top of the illiquidity in the financial markets. Also, at least in Miami, I have never seen this much cash in the street moving. In multiple industries, luxury products are flying off the shelf and in real estate down here there are an extraordinary amount of cash transactions. But again, I hope this market runs for a lot longer!

@Bill Brandt Thank you for the reply! I’m lucky in this case as this asset was never depreciated because it was merely used as a holding company where I ran a separate business and ran the asset at break even. If I had depreciated it would be a no brainer to 1031X. Best wishes and thank you.

@David M Trapani Thank you for the reply David. I’m very much leaning towards the 1031X. My train of thought is that I’ll have 12-17 months before the tax bill would even become due and I can get in and out of 3-5 low risk flips within that time that can cover the original tax bill. I’m just not in love with multi family right now as it is massively overpriced at the moment. Thank you again. Best wishes.

@Michael Plaks

Thank you for the insight and new choice. I will look into this option.

I’m in the process of selling a commercial building and have been debating 1031 Exchanging into another asset or just paying the taxes and have huge capital in reserves and an even bigger purchasing power for the upcoming recession.

Is anyone debating these two decisions, would love to see different points of view since we are officially into one of the longest bull markets in history in the US and in many market places there are very few investments that make sense.

Thanks in advance for everyone’s insight.

For Context:

South Florida(Miami) market.

Multi family

Cap Rates