1031 Leverage Calculator

1031 Leverage Calculator

When a sponsor sells the 1031 DST property you purchased, you’re faced with a decision: reinvest the proceeds into a new DST, and if so, at what leverage level. In our 1031 Leverage Calculator, enter your exchange equity and the LTV for both the DST you’re exiting and the one you’re considering, and you’ll see how much real estate each acquires, along with the allocated debt and hypothetical ending equity. The Value Change field lets you test what happens if the new property’s value moves up or down after the exchange. Higher leverage amplifies both outcomes — larger gains if it appreciates, larger losses if it doesn’t. This tool lets you see both hypothetical investment outcomes before you decide.

Note: Higher leverage may increase potential gains or losses. This is an illustrative example only and doesn’t represent a specific investment. Speak with your NexTrend representative to walk through how leverage applies to your own exchange.