Is Oil And Gas A Viable Replacement Property Opportunity For A 1031 Exchange DST?

Oil and natural gas investing, like other real assets, can provide a protective hedge to inflation. While depressed oil and gas commodity prices negatively impact returns, oil and gas investments may perform better than traditional stocks and bonds in an economic downturn or during periods of excess inflation.

What is a 1031 Exchange?

The 1031 Exchange name comes from Internal Revenue Code Section 1031. It enables you to defer capital gains tax and depreciation by reinvesting the proceeds from the sale of investment property into a replacement property, thus preserving significant wealth.

Section 1031 exchange deferrals may be continued through a series of exchanges. However, selling the property without exchanging into a new property would potentially trigger a realization of capital gains and possible depreciation recapture. 

What is a DST?

DST is the abbreviation for Delaware Statutory Trust. A DST is an entity which may hold title for real

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