New! Limited opportunity in Ennis Montana for investors or individuals needing a 1031 exchange. Learn More

How can real estate be used as an estate planning tool?

by Liz Nitz

Purchasing commercial or residential real estate that can generate rental income is an excellent way to pass wealth onto the next generation.

 

Why?

  • Real estate that can be rented provides ongoing cash flow and rental income for you
  • Capital gains earned while buying and selling real estate can be offset if using 1031 exchange for purchase or portion of purchase. A 1031 exchange is a swap of one investment property for another.
  • If 1031 is executed correctly, there is no capital gain tax on the sale of property.
  • Real estate investment can grow tax deferred.
  • Excellent form of estate planning as the tax burden is relinquished upon death. Heirs do not pay tax on exchanged property capital gains. Heirs inherit property at its stepped up market rate value.
  • You may deduct mortgage interest for financed portion of purchase price from your taxes
  • You can depreciate the property at either at 27.7 or 39 years depending upon property
  • You can gain accelerated depreciation with cost segregation strategy on taxes
  • You and your heirs realize equity gain as property appreciates during holding period
  • You and your family get to enjoy your investment during your ownership!

 

*Please check with your accountant for specifics on these rules.

 

Please contact us about using real estate as an investment.

 

Liz 406 499 4218.

Liz@rangepropertiesmt.com

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7775 Bridger Shadows Road, Bozeman, Montana 59715, Bozeman, Montana 59

7775 Bridger Shadows Road, Bozeman, Montana 59715, Bozeman, Montana 59715

5Bedroom(s)
5Bathroom(s)
20Acre
5,493Sqft
Impeccably constructed new home located in Bridger Canyon. Boasting almost 6000 +/- sq ft and over 8500+/- sq ft of pure luxury under roof, this home and barn is located on 20 acres in coveted Bridger Canyon. Located just ten miles from downtown Bozeman and 10 minutes from Bridger Bowl Ski area, this brand-new custom home has it all.
$7,600,000

14850 Pony Creek Road, Bozeman, Montana 59715, Bozeman, Montana 59715

14850 Pony Creek Road, Bozeman, Montana 59715, Bozeman, Montana 59715

3Bedroom(s)
1Bathroom(s)
20.01Acre
1,280Sqft
If you are looking for the most stunning views and the perfect location you have found it! The mountain views from this property are absolutely gorgeous. The Bridger Mountains are right out the back door! Enjoy the simplicity of the two cabins or build your own home on the 20.007 acres.
$1,050,777

1301 Wildflower Way, Bozeman, Montana 59715, Bozeman, Montana 59715

1301 Wildflower Way, Bozeman, Montana 59715, Bozeman, Montana 59715

2Bedroom(s)
1Bathroom(s)
0.93Sqft
2,000Sqft
A slice of Bozeman with big Bridger Mountain Views. This quaint home sits on just under 1 acre with easy access to Hyalite Reservoir, Montana State University, Downtown Bozeman, and many hiking/mountain biking trails. Home has 2 bedrooms with two baths and a separate additional dwelling unit with 1 bedroom & 1 bathroom. The ADU is also fenced with their own separate yard space.
$1,200,000

3105 Madrona Lane, Bozeman, Montana 59715, Bozeman, Montana 59715

3105 Madrona Lane, Bozeman, Montana 59715, Bozeman, Montana 59715

5Bedroom(s)
3Bathroom(s)
0.19Sqft
3,053Sqft
Ideally situated on a corner lot in the highly sought-after Alder Creek subdivision, this stunning custom-built 5-bedroom, 3-bathroom family home is brimming with premium upgrades. Enjoy the comfort of air conditioning, walk-in closets in every bedroom, cherry cabinetry + granite countertops in the kitchen, laundry room, and all bathrooms.
$1,095,000

270 Falling Star Road, Bozeman, Montana 59715, Bozeman, Montana 59715

270 Falling Star Road, Bozeman, Montana 59715, Bozeman, Montana 59715

4Bedroom(s)
3Bathroom(s)
5.22Sqft
5,055Sqft
Situated under the shadows of the Bridger Range in perhaps Bozeman's finest neighborhood, Ross Peak Ranch, sits 270 Falling Star Road, a 5000sf+ architectural masterpiece that stands as a testament to high-design and build quality.
$4,895,000

417 W Lamme, Bozeman, Montana 59715, Bozeman, Montana 59715

417 W Lamme, Bozeman, Montana 59715, Bozeman, Montana 59715

4Bedroom(s)
2Bathroom(s)
0.13Acre
2,032Sqft
417 W. Lamme is an adorable bungalow-style home with leaded glass in the picture window and entryway, located in downtown Bozeman. The backyard has been recently redone with a privacy fence, the garage has a new roof, and the foundation has been secured for this 1903 property.
$715,000

323 Gallatin Park Drive 101/201, Bozeman, Montana, Bozeman, Montana 59

323 Gallatin Park Drive 101/201, Bozeman, Montana, Bozeman, Montana 59715

2Bedroom(s)
1Bathroom(s)
879Sqft
Better than new, mixed use condominium with premium finishes. Live comfortably upstairs in 2 bedroom, 1 bathroom space with open living/dining area, large kitchen with island and sliding doors that open to balcony. Use the versatile, heated lower level as work space, business space, garage plus storage or exercise area or combination of these uses.
$745,000

1948 Southbridge Drive B, Bozeman, Montana 59718, Bozeman, Montana 597

1948 Southbridge Drive B, Bozeman, Montana 59718, Bozeman, Montana 59718

3Bedroom(s)
2Bathroom(s)
1,494Sqft
Beautiful condo in Bozeman's desired Southside! Enjoy the convenient, turn key living while being in the picturesque landscape of south Bozeman. This condo has vaulted ceilings and open concept living and kitchen area perfect for entertaining. Enjoy the walkout covered deck from the living room, spacious and made for relaxing and enjoying the mountain views.
$599,000

2755 Fen Way A, Bozeman, Montana 59718, Bozeman, Montana 59718

2755 Fen Way A, Bozeman, Montana 59718, Bozeman, Montana 59718

2Bedroom(s)
1Bathroom(s)
1,129Sqft
Looking for a prime location in Bozeman near scenic trail systems, breweries, and top-notch shopping? Welcome to 2755 Fen Way Unit A, a charming end-unit condo offering both comfort and convenience. As you step inside, you're greeted by an inviting kitchen, dining, and living area, ideal for relaxing or entertaining.
$415,000
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