Commercial and investment real estate
A real estate sale does not have to deliver every dollar in the year of closing.
Owners of appreciated commercial, rental and investment property can evaluate a structured installment sale when they want liquidity now and a dependable future payment schedule.
An alternative—not a substitute for advice
A structured installment sale differs from a like-kind exchange and does not require the seller to acquire replacement property. The right choice depends on the seller’s objectives, basis, depreciation, debt and transaction facts, all of which should be reviewed by qualified tax and legal advisors.
Customize the schedule
The seller can consider annual or other periodic payments beginning in a future year. Available schedules and rates depend on the issuing company and transaction timing. An illustration shows the payment dates and guaranteed amounts before the seller decides.
Plan before closing
The buyer’s obligation and assignment must be reflected in the transaction. If the seller has already received or obtained unrestricted control of the proceeds, it may be too late to establish the arrangement.
Who should participate
The seller, buyer, real estate professional, CPA, attorney and financial advisor should understand their roles. Muir Structured Sales coordinates the payment illustration and transaction mechanics with that team.
Timing matters