Making Opportunity Zone Investments Work

If you’re interested in real estate investments at all, you’ve certainly heard talk of opportunity zones in the last few years. There is significant potential in Qualified Opportunity Zones.

From the Tax Cut and Jobs Act of 2017, opportunity zones were developed in order to promote investments from private businesses and real estate investors in improving the conditions of disadvantaged communities.

The OZ program is intended to produce long-term investments in order to stay present in these communities for an extended period of time. For those that already have capital gains and are looking for both a professionally managed and long-term investment, it’s a great idea to consider a Qualified Opportunity Zone Property.

Investors can reduce the amount of taxes owed up to 15%, as well as defer taxes on capital gains until the end of 2026 by investing in Qualified Opportunity Funds while meeting other requirements. Read more about the tax benefits and incentives offered by investments in an opportunity zone.

The U.S. News reports that opportunity zones are one of the best investments to make in 2019. As the end of the year rapidly approaches, there has never been a better time to secure your financial plans and grow with new opportunities.

As a relatively new program, opportunity zones are often at the brunt of negative press. As stated by Joshua Pollard, a Forbes contributor, the press surrounding specific examples of opportunity zones “unintentionally eliminates the notion that community members still have significant time to make an impact using Opportunity Zones.”

While the unfamiliarity with opportunity zones is still seated in developing understanding at a community level, community members and investors can still work together to utilize the opportunity in a beneficial way. At its core, the intent of the OZ program is to make once impossible community projects now economically viable.

How to make an opportunity zone investment work:

Following the actual legislation, members of the community must engage with the development within the OZ. At its core, the investment must align with both investor and community interests, which takes time to develop.

Check out the current list of Qualified Opportunity Zones(QOZs) on the Department of Treasury website.

Find your qualified opportunities with us

If you have any interest in investing in opportunity zones, your best path is to educate yourself with the help of an experienced, qualified investing partner. Opportunity zones pose more complex regulations and rules to navigate than traditional real estate funds. However, just because this new type of investment opportunity is more complex, doesn’t mean you shouldn’t be able to look into financing your own.

Many major cities across the United States shift rapidly, and certain OZ zones become ideal candidates for future development with these changes. As cities evolve, new opportunities will open as well. With Pantheon Investments, you can learn how to identify qualified opportunities and access them at the right time.

Related Blog Posts:

What is an Opportunity Zone?
The Future of Multi-Family Housing
5 Reasons to Invest in Multi-Family Real Estate Syndications