Exchanging into a Tenants-in-Common and/or Energy Property instead of a single-property purchase may offer attractive ownership advantages. These exchange property types offer the opportunity to benefits including hands-off property management, the potential for steady monthly cash flow, and the ability to easily diversify real estate investment holdings across the country. - Investing in TIC Properties - Oil and Gas Opportunities The founders of ExchangeWorks have assisted numerous investors with 1031 TIC and Energy Property exchanges. We have expertise in matching the right replacement property with the investors goals and are highly educated in analyzing and evaluating potential replacement properties for TIC investors. We look forward to educating each investor, so clients can make an informed decision on how TICS and/or Energy Property can be an appropriate investment vehicle for their specific situation.	Oil and Gas Opportunities Many 1031 investors are becoming aware of, and are considering oil and gas ownership as a viable diversification tool when evaluating replacement properties for their 1031 exchange. When structured properly, oil and gas investments can qualify for exchanges under IRC Code 1031 as like-kind property. Energy investments provide an opportunity for TIC investors to receive passive monthly cash flow as well as the potential for higher returns than traditional real estate ownership. Investors who own energy investments in the form of royalty interests, for example, receive their percentage share of gross revenues from well production on a monthly basis. In addition, many oil and gas programs have numerous wells in multiple locations, providing diversification to the investor. For investors seeking diversification outside of traditional real estate, many types oil and gas investments may be attractive options for direct cash investments. While drilling and rework programs do not qualify as like-kind property, they may offer other investment advantages such as the potential for strong return on investment along with aggressive tax advantages. When contemplating an investment in oil and gas, investors should compare both working interest and royalty interest ownership [of the mineral rights] to determine which strategy best meets their investment objectives. At ExchangeWorks, we have assisted both 1031 and cash investors in evaluating oil and gas programs and sponsors. We are experienced in helping investors understand the risks and rewards of energy ownership. Free free to contact us for more information. CASH FLOW AND RISKS Two of the biggest risks in oil and gas investing are the pricing of the commodities and the life of the reserves. Pricing is generally a result of supply and demand. During a warm winter, for instance, gas supplies will outstrip demand and result in lower prices and returns. Reserves vary, of course, and decrease over time. Production and engineering reports are available for royalty interests, and the number of proven but undeveloped drilling sites is generally available for both working and royalty interests. It is not uncommon to see engineering reports indicating reserves in excess of 30 years. Technology has vastly improved both drilling success and mineral recovery methods. If you would like more information on investing in energy, give us a call.
Securities offered through Steven L. Falk & Associates, Inc., Member NASD-SIPC 3245 Elk Clover Street | Las Vegas, Nevada 89135 | 702.240.0174 office This information is neither an offer to sell nor a solicitation of an offer to sell any security and is being supplied for information purposes only. All investments have inherent risks; TIC investments also have risks, including those common in real estate investment. Potential risks relating to each investment property are disclosed in a private placement memorandum available to ACCREDITED INVESTORS ONLY that must be read by the investor prior to making an investment decision. The information provided on this website is not intended as a substitute for qualified legal and/or tax advice. Copyright 1031ExchangeWorks.com All rights reserved.    Web Design A3K Advertising, Inc.  Contact ExchangeWorks Site Map