With the great fluctuation in the money market, investors are looking forward to invest their money safely. In this recessional phase, it is tough to find predictable and stable investment mediums. However, smart investors know what to do. One of the finest choices is to spend on Triple Net Lease Properties which is termed as corporate bond but it includes the real estate investment. Leasing of the commercial real estate property is done in varied ways and one of them is under a net net net lease or NNN lease whereby a commercial leasing is done by paying the base rent, property taxes, insurance and common area maintenance charges to the owner. The process of leasing is carried out by commercial real estate attorney which offers Triple Net Lease services to make the entire process of leasing smooth. In the net lease or nnn, the tenant has to pay the base amount to the owner so that the owner clears all the expenses relating to property taxes and insurance charges. In the nnn properties, the tenant will agree to pay the real estate taxes, insurance charges and also the operating expenses of the building. For the buyers who wish to do the 1031 exchange, net leased properties are extremely attractive. Such services are offered by acommercial real estate investment company.
What are the steps to be taken prior to tax deferred exchange?
If you are intending to do 1031 exchange, you need to connect and get associated with the qualified intermediately who would assist you in exploring the options related to 1031 replacement. Once you have your property under contract and before you close on your property you will need to contact a qualified 1031 exchange agent and start the process. If you close on your property it’s too late to do 1031 exchange. 1031 Exchange will defer both the state as well as federal capital gains taxes that are otherwise associated with every sale of the investment property. Simultaneously, you need to evaluate the nnn properties for sale for 1031 exchange replacement.
Why triple net lease is highly regarded?
Triple net lease may be tailored towards the investor’s expectation of risk and reward since one chooses tenants with a different credit ratings. Then, there are only a few risks attached to nnn properties and the returns are also very high.