S.E.C. Real Estate Observer

It’s been said that the most valuable compliments are those that come from one’s peers. Virgil Opfer, a Past President of the Society of Exchange Counselors (2004), is certainly well regarded in many circles. Within the commercial real estate brokerage community, and among educators, S.E.C. members, and his fellow G5 investment partners, Virgil is highly respected.

The title of this article is sheer nonsense. It’s a cliché usually uttered by those unwilling to try. “You gotta have money to make money” is an easy “cop-out” for those who lack a positive mental attitude and have no understandable plan for accomplishment. It is true that persons with money certainly have a most proper resource (and money is a resource to the estate-building real estate practitioner).

After we had spent the better part of two days studying the Art of Exploratory Questioning during a class in “The Art of Real Estate Counseling,” one of the students presented me with a 50 cent plaque he had discovered in a dime store that read: “I KNOW ALL THE ANSWERS — IT’S THE QUESTIONS I DON’T UNDERSTAND!”

At this time, everyone seems to be concerned with the future of everything. We have been receiving calls from clients and other interested people from all over the country with the question, “What to do?” Should we keep our money in banks? Do we buy gold, silver and so forth? What kind of real estate should we retain?

Some months ago at a meeting of Exchangors, I offered a “want” for some clients interested in the purchase of units in the $500,000 to $1 million price range. Method of purchase and over-all client objectives were stated. After the meeting, one supposedly knowledgeable broker approached me and said he had a certain package priced at $750,000…

You may have heard by now that the court sided against the taxpayers in the LandAmerica 1031 Exchange bankruptcy case. The judge ruled that the 1031 Exchange funds were corporate funds — not fiduciary funds — while held by LandAmerica 1031 Exchange, and as such are a part of the bankruptcy estate and therefore subject to general creditor claims.