David Moore, CEO Equity Advantage, recently hosted two heavyweights in the world of real estate, Keith Lampi who is the CEO of Inland Real Estate Corporation and Robert Smith from Peregrine Private Capital. The discussion takes a deep dive into Delaware Statutory Trust (DST) and how their growing popularity is changing the dynamics of real estate ownership. They offered perspectives that cater to both investors and newcomers in the field.
Introduction to the Guests
Keith Lampi has been in the DST field for years and has played a crucial role in developing the product since its beginning more than twenty years ago. The industry holds him in regard due to his honesty and dedication to the interests of investors. Bob Smith is a broker who brings a wealth of knowledge and expertise to the table. This collaboration presents an opportunity, for learning and growth.
The Shift in Home Ownership Perception
In a discussion topic that stood out was the evolving perspective regarding owning a home, among the population. Keith highlighted that in contrast to generations who prioritized home ownership today’s youth are showing a growing preference for renting. This change in mindset is shaped by factors such as the downturn impacting numerous households and the escalating expenses linked to purchasing property.
Keith explained that while owning a home was traditionally considered the achievement, for individuals in the past; nowadays renting is increasingly viewed as a pragmatic option. Especially among younger generations. The rising obstacles to homeownership have prompted a shift towards the convenience and flexibility offered by renting homes.
The Role of Government and Institutional Ownership
The speakers generally agreed that government policies appear to prioritize ownership, than individual ownership of homes. Keith expressed his view by saying that it seems like the government is encouraging people away from owning estate. This viewpoint highlights a trend where numerous neighborhoods are being constructed with a focus, for rental purposes. Eroding the conventional idea of owning a home.
Investment Strategies and Changing Markets
As the discussion went on the topic changed to investment tactics in today’s real estate market. Keith stressed the significance of comprehending patterns and their impact on real estate investments. “The basis for investing will always be related to how upcoming generations will engage with properties ” he explained, underlining the necessity for investors to adjust to evolving consumer choices.
They talked about areas in the real estate industry that are becoming popular like student accommodations and retirement homes for adults who are seeking a new lifestyle experience, near esteemed colleges and universities.
Key Investment Sectors
- Student Housing: With a focus on major universities, this sector is experiencing robust demand as enrollment surges at top institutions.
- Senior Living: As the baby boomer generation ages, there is a growing need for high-quality senior living options that provide modern amenities.
- Manufactured Housing: Once considered niche, this sector is now attracting institutional interest due to its affordability and resilience.
- Self Storage: This sector has shown consistent performance and is driven by life events such as moving or downsizing.
The Importance of Real Estate Strategy
During their conversation Keith and Bob highlighted the significance of prioritizing a real estate plan, over the investment tools or methods used. Keith expressed that the primary focus should be on the real estate strategy itself than the structures. This viewpoint emphasizes the value of concentrating on the quality and potential of the underlying assets than becoming overwhelmed by intricacies.
Challenges for Retail Investors
Keith pointed out the struggles that regular investors encounter when trying to find investment options and raised issues, about the accreditation rules that restrict access to investment types by saying “Making real estate investment opportunities available to all and not just the wealthy is essential.” This idea strikes a chord as the industry wrestles with ways to open up top notch investment options to an audience.
Conclusion
Keith Lamp and Robert Smith offered perspectives on the condition of the property market and the increasing popularity of DST investments as a feasible financial approach. They highlighted the significance of adjusting to shifting demographics in market patterns and concentrating on property tactics to thrive in today’s changing environment.
We appreciate the insights shared by both speakers. Are excited to witness the evolution of the DST field in the years ahead.
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The Guys With All The Answers…
David and Thomas Moore, the co-founders of Equity Advantage & IRA Advantage
Whether working through a 1031 Exchange with Equity Advantage, acquiring real estate with an IRA through IRA Advantage or listing investment property through our Post 1031 property listing site, we are here to help Investors get where they want to be. Call them today! 503-635-1031.
