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Choosing the right Delaware Statutory Trust (DST) advisor is one of the most important decisions you will make in your 1031 exchange journey. A DST can provide access to institutional-grade real estate, potential monthly income, and tax deferral. However, these benefits only come together when you work with an advisor who truly understands DST structures, regulations, investment risks, and your personal goals.

Below is a practical and investor-friendly guide to help you evaluate DST advisors and select the right partner for your needs.

Understand what a DST advisor actually does.

Before you compare advisors, it helps to understand what the role should include. A qualified DST advisor will typically

• Educate you about 1031 exchanges and DST structures in clear language
• Analyze your current property, equity, and tax exposure
• Present DST offerings that match your risk tolerance, time horizon, and income needs
• Explain all fees, potential returns, and key risks in advance
• Coordinate with your qualified intermediary, CPA, and attorney
• Help you meet the strict 1031 exchange timelines
• Provide ongoing service and communication after you invest

If someone is simply “selling products” without a thoughtful review of your situation and without involving your tax and legal professionals, you are not working with a true DST advisor. You are talking to a salesperson.

Look for deep experience with 1031 exchanges and DST structures.

DSTs are not entry-level investment products. They involve tax law, securities rules, and real estate underwriting simultaneously. Your advisor should have a strong, verifiable track record in the DST and 1031 exchange space, not just in general financial services.

When you speak with a potential advisor, ask questions such as

• How many years have you been working specifically with DSTs and 1031 exchanges
• How many DST transactions have you completed for clients
• What is the range of DST sponsors and offerings you typically work with
• Have you helped clients through different economic cycles

An experienced advisor will answer calmly, with specific details. They will not rush you. They will be able to describe past client scenarios similar to yours without revealing confidential information. Their confidence should come from experience and process, not from aggressive sales talk.

Confirm proper licensing, registration, and compliance.

DST interests are securities. That means your advisor should be appropriately licensed to recommend these investments. In most cases, they will be associated with a broker-dealer or registered investment adviser that allows them to offer DSTs and other alternative investments.

You want an advisor who operates in a strong compliance environment. This helps protect you from unsuitable recommendations, improper disclosures, or regulatory issues later. Do not hesitate to ask

• Are you securities licensed and with which firm
• Are you registered to do business in my state
• Who supervises your DST recommendations
• How do you document that a DST is suitable for my situation

A professional DST advisor will welcome these questions and will not become defensive. Transparency here is a good sign that they run a clean and compliant practice.

Expect a clear and honest explanation of risks.

DSTs can be powerful tools, but they are not risk free. A trustworthy advisor never hides or minimizes the risks involved. Instead, they will make sure you understand them in everyday language before you sign any documents.

Common DST related risks include

• Illiquidity: Your capital is typically tied up for a multi year hold period
• Market and income risk: Rental income and property values can change over time
• Sponsor risk: Performance depends on the sponsor’s experience and management
• Interest rate and economic risk: Higher rates and economic slowdowns can affect occupancy and valuations

The right advisor will not promise guaranteed income or performance. They will help you weigh these risks against your personal objectives and compare DSTs with other 1031 replacement options. If the conversation feels like a pitch and not a balanced discussion, you should be cautious.

Evaluate the quality and variety of DST offerings

No single DST is perfect for every investor. A skilled advisor will offer a thoughtful menu of DST opportunities rather than pushing a single product. They should have access to offerings in different sectors and strategies, such as

• Multifamily communities in diverse markets
• Industrial and logistics properties
• Medical office and healthcare facilities
• Necessity based retail properties
• Portfolios that blend different property types

You want an advisor who focuses on quality, not quantity. They should be able to discuss

• Occupancy trends and tenant quality
• Lease structures and remaining terms
• Loan to value ratios and debt terms
• Exit strategy and projected hold period

The goal is not just to fill your 1031 exchange in time. The goal is to position your capital in real estate that has been carefully vetted from both a risk and opportunity standpoint.

Look for a client-centered planning process.

The right DST advisor will treat your 1031 exchange as part of your overall financial picture, not as an isolated transaction. They should ask detailed questions about

• Your current and future income needs
• Your time horizon and retirement plans
• Your risk tolerance and comfort with illiquid investments
• Estate planning goals and family needs

From there, the advisor should build a DST strategy that fits you rather than forcing you into a template. They may suggest diversifying across multiple DSTs, holding some cash, or pairing DSTs with other investment structures depending on your objectives.

Pay attention to how they listen. A good advisor asks more questions than they answer at the beginning. They take notes, repeat back key points, and make sure they truly understand what you want before they recommend anything.

Demand full transparency on fees and compensation

DST investments involve different types of fees. These can include acquisition costs, management fees, ongoing asset management expenses, debt costs, and advisor compensation. None of this is automatically bad, but it all needs to be transparent.

Ask any potential DST advisor to explain

• How they are compensated on DST transactions
• What fees are paid at the sponsor level and at the advisor level
• Whether there are alternatives with different fee structures
• How the total costs may impact the projected cash flow

A trustworthy advisor is comfortable discussing their compensation. They will help you compare net income projections rather than quoting only gross numbers. This clarity builds trust and enables you to make an informed decision.

Confirm strong communication and service.

DST investments often run for several years. During that time, you will receive reports, tax documents, and updates on property performance and any potential sale or refinance. You want an advisor who remains engaged with you for the long term.

When interviewing advisors, ask about

• How often they communicate with clients
• Whether they review sponsor reports with you
• How do they help you plan a future 1031 exchange when a DST is sold
• How quickly they respond to emails and calls

Professional advisors view DSTs as long-term relationships, not one-time transactions. You should feel that your questions will always be welcome, whether they are small details or big decisions.

Make sure the advisor is comfortable collaborating with your tax and legal team.

A successful 1031 exchange with DST investments touches multiple professionals. Your advisor should be willing and able to work closely with

• Your CPA or tax planner
• Your qualified intermediary
• Your estate planning attorney
• Any business partners involved in the property

Advisors who resist collaboration or try to keep everything inside their office are usually not the best fit for complex real estate and tax planning. You deserve a team environment where everyone shares information in order to protect your interests.

Trust your instincts about fit and integrity.

Numbers and credentials matter, but so does your comfort level. Pay attention to how you feel when you meet or speak with a DST advisor. Ask yourself

• Do they listen carefully and answer my questions with patience
• Do they respect my concerns and timing
• Do I feel pressured or rushed
• Do they explain things in a way that makes sense to me

The right advisor will make you feel informed, not overwhelmed. You should come away from conversations with greater clarity and confidence, even if you still need time to decide.

Why GCA1031 is a smart choice for DST advisory services

When you apply all of these criteria, you want an advisor who combines technical expertise, strong compliance, high-quality offerings, and a very personal approach to planning. This is exactly where GCA1031 stands out.

GCA1031 focuses on helping investors use DSTs as a strategic tool within a complete 1031 exchange plan. The team understands that you are not just trying to “replace a property.” You are trying to preserve wealth, defer taxes, create income, and simplify your life. GCA1031 takes the time to review your current holdings, discuss your goals, and walk you through how DSTs can fit into your broader financial strategy.

GCA1031 works with carefully selected DST sponsors, focusing on offerings that have been thoroughly evaluated for property quality, tenant strength, debt structure, and risk management. You are not given a generic product list. You receive recommendations designed around your goals, risk tolerance, and timeline.

Most importantly, GCA1031 believes in education and transparency. You can expect clear explanations of each DST offering, a balanced discussion of risks and benefits, and open communication about fees and compensation. The relationship does not end after your exchange closes. GCA1031 remains by your side through ongoing reporting, future planning, and subsequent exchanges as properties are sold.

If you are preparing for a 1031 exchange and considering DSTs as a replacement strategy, the right advisor can make all the difference in your experience and outcome. By focusing on experience, licensing, transparency, planning, and service, you can narrow the field to a trusted partner.

For investors who want a knowledgeable, client-centered DST advisor with a disciplined process and a long-term perspective, GCA1031 is an excellent choice to guide you through every step of your DST investment journey.