Kay Properties Matt McFarland and Orrin Barrow On the Risks of Investing in DSTs

<p>Welcome to DST 1031 Essentials with Kay Properties — An in-depth look at the many recurring themes and nuances to the Delaware Statutory Trust (DST) investment process.</p> <p> </p> <p>Topics will cover 1031 exchanges, ins and outs of the Delaware Statutory Trust structure, timing, cash investing, REITS, funds, real estate and more.</p> <p> </p> <p>The <a href="http://www.kpi1031.com/">kpi1031.com</a> platform not only provides access to these 25+ different sponsor companies, but also custom DSTs only available to Kay clients, full due diligence and vetting on each DST property on the platform (typically 20-40 DSTs), and an active DST secondary market. Kay Properties team members collectively have over 150 years of real estate experience, are licensed in all 50 states, and have participated in over 30 Billion of DST 1031 investments</p> <p> </p> <p>In this week’s episode, Vice President Matt McFarland and Vice President Orrin Barrow talk about the risks when investing in real estate, specifically in DSTs. This is an important topic prior to making any investments and today they share how DST investors mitigate risks when they’re getting ready to invest in a property.</p> <p> </p> <p>Key Takeaways:</p> <p>[1:00] Risks and disclosures.</p> <p>[3:50] About Kay Properties & Investments.</p> <p>[4:30] Matt introduces Orrin and today’s topic.</p> <p>[5:40] How are clients educated about the DSTs risks?</p> <p>[6:30] With any investment, there are inherent risks.</p> <p>[7:50] DSTs include fees so having confidence in the sponsor company’s business plan and competency to overcome those fees is important.</p> <p>[9:10] In addition to introductory conversations, Matt shares that they have a lot of resources available for educational purposes and actual private place memorandums.</p> <p>[10:35] How do they identify risks and mitigate them through the DST structure?</p> <p>[11:25] Some of the risks in real estate are foreclosures. Orrin shares some of the scenarios where this can happen.</p> <p>[13:00] Orrin talks about