How long are DSTs held?

DST investments usually have a duration ranging from 3 to 10 years. If investors wish to exit the property, it’s prudent to hold the DST property for at least two years. Generally, the prepayment penalties on the DST loan are more manageable after the third year. Since DSTs with existing debt cannot refinance, when there’s a 10-year fixed rate commercial debt involved, the maximum holding period extends to 10 years.


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