Suzy owned an investment property in San
Jose, CA that was under performing
at a cap rate of 2.7% (NOI/Purchase price).
She no longer has any working income, so she relies on passive income to supplement her lifestyle.
She was looking to “give herself a raise during retirement” by getting a better overall return on her
real estate investments while minimizing her risk and the amount of work/energy needed to
manage her properties.
She decided to sell her investment property in San Jose and purchase three investment properties
in the Memphis MSA with the proceeds from the sale via a 1031 exchange while pocketing close to
$50,000 for savings, which was subject to a capital gains tax. her properties.