What Is Tenant In Common
Ownership?
"Tenant In Common Ownership"
means that the I.R.S. now allows through the use of a Real Estate
Exchange, Taxpayers (Sellers) of income-producing property or
investment-held property to dispose of their Relinquished Property
and acquire as their Replacement Property, a percentage of ownership
known as an undivided interest as Tenants In Common. Tenants In Common
property owners collectively own a piece of real estate in which the
title is held individually by each owner. This is not a form of a
partnership, corporation, or LLC. As a Tenant In Common Owner, you
enjoy the same bundle of rights of ownership, as if you owned the
entire property.
Tenant In Common Ownership
allows "1031 Exchangors" as well as "Private Investors" the
opportunity to own a management-free high quality "Real Estate
Investment" with as little as $100,000 of capital. This new form of
ownership designed for the 21st Century, is a convenient way for an
average Investor to own a management-free high quality "Real Estate
Investment", without the headaches of property management.
How Can Tenant In Common
Ownership Benefit You?
Because of the required
Forty-Five (45) Day "Identification Period" restriction and a lack of
solid management-free investment properties available, this new form
of ownership can benefit you immensely. Whether you are in need of a
Replacement Property to complete a Real Estate Exchange or are just
looking for a good Real Estate Investment. Tenants In Common Ownership
can be what the doctor ordered. Some advantages of this form of
ownership include;
- No Property Management
involvement by Owners
- Can be used as a back-up
Replacement Property to be Identified in an Exchange
- Can be closed in a timely manner
to meet the “1031 Exchangors”, One Hundred and Eighty (180) Day
“Exchange Period” clock
- Allows for the flexibility in
capital size with a minimum of $100,000 requirement
Our Tenant In Common Program,
allows you to own a percentage of ownership in a management-free high
quality "Real Estate Investment" with the potential to generate a
steady income stream (cash flow), equity build-up, tax benefits, and
appreciation.
How Does R. J. GULLO &
CO., INC., Fit Into This Process?
You have recognized our name as
being America’s #1 Qualified Intermediary Network For Real Estate
Exchanges providing our Services nationwide for 25 years and have been
known as pioneer’s in the Exchange arena.
Our tradition continues through
our Tenant In Common Ownership Program. We give “1031 Exchangors” and
“Private Investors” the opportunity to participate in ownership, in a
management-free high quality "Real Estate Investment". R. J. GULLO
INVESTMENT CO., INC., acts as the sole "TIC Sponsor" and a 3rd party
PROPERTY MANAGEMENT COMPANY acts as the Manager of each Tenant In
Common (TIC) Ownership Program that we offer. We are not Brokers just
trying to sell you properties. We select our properties with great
care and because we often learn about property opportunities before
they become available to the public, we are able to select properties
that offer the greatest potential. We have developed a national
alliance to provide for a consistent and reliable source of
Replacement Property that is always available to fit the needs of our
clients. Our success depends on our knowledge and 25 years of
experience.
How Many Owners Are There
In A Particular Property?
Our Tenant In Common Ownership
programs typically are structured with as few as five owners and as
many as thirty-five owners depending on the property. Investors have
the opportunity to participant with a minimum capital investment of
$100,000.
How Do I Receive My Share
Of The Properties Cash Flow And Who Handles The Day-To-Day Management Of
the Property?
Through a Property Management
Agreement with the owners, a third party Property Management Company
will handle the day-to-day property management activities. The
MANAGEMENT COMPANY will receive the monthly rent from the tenants of
the property, pay out the approved expenses as well as the mortgage
payment and forward each owner’s pro-rata share of income to them on
a monthly basis. The PROPERTY MANAGEMENT COMPANY maintains an on-going relationship
with our Tenants In Common Owners throughout the term of ownership
assuring them the highest level of professional service.
How Do I Sell My
Ownership Interest?
A projected holding period will be
pre-determined but could change in the future depending on market
conditions in which we have no control over. An owner who would like
to sell their ownership interest before such time, must first offer to
sell to other owners of the property. If other owners don’t acquire
the ownership interest it can then be offered to the public in the
very same manner as any other Real Estate would be disposed of. Either
the owner could offer it themselves for resale or if necessary, R. J.
GULLO & CO., INC., would offer it for resale for a 5% fee.
If I Die, What Happens To
My Ownership Interest In The Property?
Your heirs would receive a
stepped-up basis for tax purposes meaning they would inherit the
ownership interest at its fair market value and all the income taxes
that were deferred from your Exchange transaction would be forgiven.
Like any other property, your ownership interest would pass in
accordance with your Last Will and Testament.
Our Bottom Line!!!
If you are a “1031 Exchangor” or
“Private Investor” and would like to take advantage of the Real Estate
Investing Opportunity of the 21st Century, let one of America’s leading
authorities hold your hand through this process. Call Russell J. Gullo,
CCIM, CEA, President of R. J. GULLO & CO., INC., at 1 (866) R J Gullo
(754-8556) to learn about our “Current Offering”.
Take That First Step...
Call Us Today.
**Click Here to
View Our Current TIC Offering
