The Basics of 1031 Exchange
by Osman Parvez The Basics of 1031 Exchange There nearly always seems to be some degree of confusion as to how these work. Here's an overview. What Is A 1031 Exchange? It's a process where sellers can defer capital gains tax on the sale of an investment property by reinvesting the proceeds in another property, provided certain requirements are met. These are also called "like-kind" exchanges. What Are The Benefits? By deferring capital gains tax on the sale of your investment property, you'll have greater capital for reinvestment. This may lead to a larger overall real estate portfolio and the potential for [...]
Recent Boulder Home Sales ($1MM+)
by Osman Parvez In the past few days, a couple of high-end Boulder homes were acquired. 3173 3rd Street sits on 1.4 acres in very desireable Newlands . A stone's throw from Mt. Sanitas and backing to open space, this gem features custom cabinetry, honed marble counters, natural finishes, wood and stone flooring, and unparalled views. With ~4,600 sqft, this 4BD, 4BA home is luxurious and spacious. History: The property was originally listed in May of 2005 at $2.5MM and underwent three price reductions before selling earlier this month for $2.2MM, a $300K discount (8%). 2816 9th Street was built [...]
More on Yesterday’s Times Article
by Osman Parvez As a followup on yesterday's post, here's another real estate blogger's interpretation of the NY times piece I blogged about yesterday. I agree with her conclusions. In most parts of the country, even those areas that seem bubblicious, buying still makes sense if you are in the market for long term ownership. In contrast, if you are looking at a property primarily as an investment held over a short period, your returns may not live up to the returns of the past few years (particularly in bubble markets on either coast). Heck, flippers could (and will) lose [...]
Caution: Coffee is HOT
by Osman Parvez Some readers may notice that over the past few weeks I've added a bit of legalese to this blog. Recognizing the unfortunate prevalence of litigation in our society, much frivolous and abusive in my opinion, means we need to take precautions. At the end of this page and at the end of every new post you'll notice a (painfully self-evident) legal disclaimer. It's akin to saying, "By the way, you are responsible for your own actions," something I thought everybody figured out by 3rd grade. Never-the-less, there it is. What drove the added caution, you might ask? [...]
CU Boulder : Buy or Rent? A Parents Survival Guide
by Osman Parvez CU Boulder: Buy or Rent? A Parents Survival Guide. So, your child is coming to CU Boulder and you aren't sure what to do about housing? Perhaps they're already here and after paying for on-campus housing or renting, you are re-thinking your options and wondering whether you should do the same next year. Does it make more financial sense to buy a condo or house? The infamous "pre-leasing" season for Boulder apartments is only a few months away and it's time to start doing your homework. Our main research article in the next Realty Unique Report is [...]
What does $200MM get you in Vail these days?
by Osman Parvez Apparently 120 rooms, 19 fractional units and 16 private residences. Four Seasons is breaking ground today on it's new $200MM development, scheduled to open in 2008. Meanwhile, Ritz Carlton is planning a 108 unit luxury condo development. These two developments in Vail are inline with the continued growth of demand for luxury property by wealthy baby boomers. Fractional ownership has also undergone a major makeover from its somewhat seedy reputation of the 80's and 90's, losing its negative connotations. It helps that they don't call it "fractional ownership" any longer. Pricing has not been announced. --- Like [...]
