Can managed direct ownership work for you?

Home » Business » Can managed direct ownership work for you?

Property is an asset that enjoys a great deal of growth over a long period of time. While some investors steer away from real estate, others are finding not only growth opportunities but also value in properties. When it comes to real estate, it’s hard not to notice the constant fluctuations. If you have a nest egg, then maybe you’re not so willing to invest all your money in a direct share portfolio. However, you do want to increase your net worth. You should consider managed direct ownership. This is the best solution when it comes to purchasing, financing, and managing the commercial real estate.

What is managed direct ownership, anyway?

Managed direct ownership is a real estate investment program that addresses investors who are looking forward to acquiring, financing, and managing an individual set of income properties. It’s commonly referred to as Structured 1031 Exchange. The program was conceived so as to meet the needs of all individuals. Clients are presented the best commercial properties, not to mention that they are assisted with securing financing and management for the properties in question is arranged. Managed direct ownership has its pros and cons, as does any investment tool. Yet, the advantages outweigh the disadvantages.

Reasons why you should take the plunge

There is a psychological benefit to possessing rather than renting. You have pride in your possessions and, contrary to popular opinion, it doesn’t narrow down your view of life. The sense of pride is given by the direct involvement in something that you can see and touch. As mentioned earlier. One of the best ways to invest in property is managed direct ownership. Should you commit yourself to this real estate investment vehicle? Here are a few reasons why managed direct ownership can work for you:

  • Rate of appreciation – you don’t invest in income property for cash flow but for appreciation. Appreciation is synonymous with value. In the long run, commercial real estate increases in value. There is something called forced appreciation. It can be realized by upgrading the asset or raising rents and lowering expenses.
  • Experienced professional management – each asset receives the same level of attention. The responsibilities of property managers include collecting monthly rents, paying the mortgage, providing monthly operating statements, and offering year-end tax packages.
  • Transparency – investors are demanding improvements in transparency and professionals are aware of that. You will know exactly what happens and how your money is being used. You have knowledge of the real estate investment products, having private and public data.

Managed direct ownership: Do your homework

If you want to make the most of managed direct ownership, then you should better do your homework. See what programs are likely to meet your financial needs. It’s very important to be aware of the tools that exist out there. The smarter investment services provide optimized returns for the individual. And let investors take control of major decisions. That is what you should be looking for. Explore the options that are available and opt for a reliable program.