May 2, 2025 • 51 mins
Planning to sell your farmland but dreading the tax bill? The 1031 exchange might be your golden ticket to preserving wealth and unlocking passive income, and in this episode of The American Land Seller, we’re breaking down how it works with Heath Bandars of Clark Wealth Strategies.
Whether you’re navigating retirement, succession planning, or just looking to shift from active farming to hands-free income, this conversation is a must-listen. Heath, an Exchange Liaison and CE-certified 1031 educator, unpacks this government-sanctioned tax-deferral strategy that’s helped landowners reinvest and build wealth since 1921.
💰 What’s inside:
- How a $10M farmland sale turned into $50K/month in passive income
- The 45-day and 180-day rules every seller must know
- Why Delaware Statutory Trusts (DSTs) are becoming a go-to option
- What land agents should be doing right now to help clients plan smarter
- The critical role of qualified intermediaries—and how to avoid mistakes
Heath also explains Clark Wealth Strategies’ fiduciary, client-first approach—no cookie-cutter options, just personalized solutions built around your goals.
📈 Whether you're a landowner thinking about selling or a broker wanting to better serve clients, this episode could change the way you think about equity, retirement, and long-term financial security.
📞 Connect with Heath Bandars, 1031 Exchange Liaison
Website: www.clarkwealthstrategies.com
Email: heath@clarkwealthstrategies.com
Phone: 402.504.3531
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Koby Rickertsen (00:02):
Today on the American Land Seller, we're
unpacking a topic that's come upbefore, but it's so important
we're going to dive back in the1031 exchange.
If you're a landowner, investoror real estate professional,
understanding how to defer taxesthrough a 1031 could mean the
difference between saving andreinvesting tens or even
(00:22):
hundreds of thousands of dollars.
I'm joined today by HeathBanner, exchange Liaison at
Clark Wealth Strategies, afiduciary firm that specializes
in 1031 exchange solutions.
Heath works at the intersectionof land sales, wealth
management and client education,partner with qualified
intermediaries and land agentsto guide their clients towards
(00:46):
smart passive replacementoptions that align with their
goals.
It brings a unique backgroundfrom the banking world and now
teaches continuing educationclasses on 1031 exchanges,
currently certified in Nebraskaand expanding into other states.
Now in this episode, we're goingto break down what a 1031
exchange really is.
(01:06):
No jargon, just the facts, realworld scenarios where it can
help farmers, ranchers andinvestors.
What land agents must know toadd value for their clients in
these situations.
And yes, we've covered 1031exchanges before on this podcast
, but if you think you alreadyknow it, all this conversation
is going to surprise you.
(01:26):
He shares new insights andperspectives that show just how
many opportunities and pitfallsexist in this space.
So whether you're looking toprotect your capital gains,
unlock some passive income, oryou're an agent simply wanting
to better serve your clients,this episode might just be a
must-listen to.
Announcer (01:48):
Welcome to the American Land Seller Podcast
with your host, coby Rickardson.
Coby is an accredited landconsultant and multi-state land
broker with High Point LandCompany.
Join us each week as we exploreall things land.
We bring you fresh insights andexpert guests on sales,
marketing, regulations,economics and so much more.
(02:08):
Visit wwwamericanlandsellercomand find us on one of your
favorite podcast platforms.
Carrie Rickertsen (02:16):
Okay, Kobe and our special guests, let's
get started.
Koby Rickertsen (02:20):
Hey, all right, we're back here with the
American Land Seller Podcast,episode 36.
So I guess, what is this 36,?
37 today, heath, how do youfeel about 37?
Heath Bandars (02:35):
37?
I'm trying to think of anygreat sports athletes that I
admired growing up.
37, not necessarily coming tomind, but maybe we'll make the.
We'll make the number famous.
You know, who knows?
Koby Rickertsen (02:48):
yeah, I think that's exactly what we're gonna
have to do.
We have heath banders fromclark wealth strategies.
Heath, how are you this fineday?
Heath Bandars (02:59):
good, it's good friday, um everything's going
smooth, world's spinning, wespinning.
We're doing good, we're living,we're breathing.
Life is good.
So yeah.
Koby Rickertsen (03:10):
So tell us just a little bit about Clark Wealth
Solutions or Clark WealthStrategy.
I tell everybody there's threesegments to this show because I
need three segments to get yourname, your company and what you
do right.
So if you could just tell us alittle bit about what it is
you're up to.
We've talked about 1031exchanges on this show before,
but they are so important and soI wanted to bring you on to
(03:33):
maybe just dig into the nuts andbolts, maybe talk just a little
bit about, like, the machine ofa 1031, how it exactly works
and how it benefits our clientsand your clients.
Heath Bandars (03:45):
Yeah, absolutely so.
To start Clark WealthStrategies.
We were founded in 2008 by ourpresident, dave Clark.
In the middle of a recession,he thought what a great idea to
start a wealth planning firm.
So it worked out that firstyear and he thought well, if I
got through the recession, Imight have something here.
(04:05):
We were a traditional wealthplanning wealth management firm
up until about 10 years ago whenDave performed his first 1031
exchange.
Now Clark Wealth still existsand we still do the wealth
planning side, but we also havea subsidiary called Fiduciary
1031 Exchange Solutions.
(04:26):
That's kind of our new focusnow.
Dave did his first 1031 exchangein 2015 or 2016, and then kind
of just discovered man, thisindustry really is missing
someone who does things afiduciary way, who does things a
fiduciary way, transparentsolutions for clients, no set
(04:46):
menu for clients, but reallywhatever a client wants to
invest in and do, they should beable to do that.
So that's where Fiduciary 1031was born.
I've been with the firm forabout two years going on three
years now and my role at thefirm is a 1031 exchange liaison,
which is just a very fancy wayof saying I'm a connector.
(05:09):
So I connect with clients, landagents, qualified
intermediaries with us to helpidentify replacement properties
for the client when performing a1031.
Sounds like a lot, sounds kindof like a math equation a little
bit, but as we get into it I'mhappy to kind of explain that
process and where we come intoplay and how we help you guys
(05:33):
out.
Koby Rickertsen (05:35):
Okay.
So let's just start because,like we had the guys from
accrued on before, you knowthose guys, great, great guys.
Um, you, just a couple weeksago you were just talking about
that before we started that youjust ran into, uh, one or both
of those guys out in washingtondc.
As you guys were flexing yourgiant muscles, you know
(05:56):
wrestling the congressman andthe senators, you know making
sure that they understand howimportant a 1031 exchange is for
the world of real estate.
Let's just so it's alwaysconfusing for people let's just
start with a quick 1031refresher.
All right?
In simplest terms, for those ofus that are slow like me, what
(06:20):
exactly is a 1031 exchange?
Heath Bandars (06:22):
Yep.
So if you are someone who ownsa commercial property or land
and you sell that property, thegovernment has a tax code called
the 1031 tax code that allowsyou to exchange or sell that
property and put the investmentsinto another property to defer
capital gains and depreciationrecapture tax.
(06:46):
So it's not a loophole.
You're not eliminating the tax,you are deferring the tax and
then you can reinvest it intoanother property and the
government says that is asuccessful completion of a 1031
exchange.
Koby Rickertsen (07:02):
Right.
So you're not.
You're not.
It's basically like we've kindof heard about that with our
current president through someof the politics, stuff of like
you're not dodging taxes withthis.
You're essentially like it's atool that the government's used
to help create reinvestment inreal estate.
Correct, I mean, essentiallythat's what keeps people wanting
(07:25):
to do projects, sell projects,reinvest in new projects.
Heath Bandars (07:30):
Right, and it's been around since 1921,
originally, primarily to helpfarmers and people in the ag
industry.
So it's been around for forever.
As you mentioned, I was just inDC.
Both sides of the aisle usethis personally, in addition to
um mostly supporting it.
We had talks a couple of yearsback about a potential cap to be
(07:54):
put on on exchanges.
Um, we had so much.
I think it was around 600billion in GDP that this
industry alone adds, so it wouldbe detrimental if this goes
away at any point, which is whywe do some lobbying.
We're members of the Federationof Exchange Accommodators, the
(08:14):
FEA.
That's a pretty big componentto our work and making sure that
farmers around the Midwest,around the whole country, are
able to still continue takingadvantage of this, because it
really can benefit them inretirement succession planning.
(08:34):
Maybe it's a boat for theirretirement home, you know,
whatever they want to do withthese funds, that can be a
substantial amount of additionalincome, so it's important.
Koby Rickertsen (08:47):
Yeah, you had talked about like we just talked
about you going to Washingtonand you know, like I think it's
interesting that, on what peopledon't realize, with like
Washington DC and the new classof congressmen that just came in
earlier this year and the newsenators, is like what I've
learned in, as you know, growingin the industry, getting more
(09:09):
involved in it, is the educationthat you have to have on the
new guys that come in there.
Because you know, if you go,look at the tax system and say I
think you know like what's, thefirst thing you look at is like
, hey, I could solve the entiretax system by just putting an X
through the 1031 exchange.
Like let's just tax all theseland transfers and these
property transfers and that's ahuge amount of wealth we could
(09:32):
bring into the government, right, right.
And so we have to go andeducate those guys on that.
Probably those transfers aren'tgoing to happen without the
1031.
I mean, that's the way Iunderstand it.
Heath Bandars (09:44):
Yeah, not only that, but just think about the
amount of jobs 1031s create.
I mean, there's all kinds ofproperties you can exchange into
there's multifamily, there'ssenior living centers, there's
storage facilities.
The list goes on and on.
And all of those facilities andbusinesses have to run somehow.
They require people andbusinesses have to run somehow.
(10:04):
They require people.
We estimated in a survey from2021, so it's probably not even
an up-to-date, accurate number,but it was close to a million
jobs that 1031s create each yearin the country.
I'm sure it's even higher thana million now, but that's pretty
astronomical for what we'reable to do and a lot of people,
(10:25):
like you said, it's theeducation piece.
They just don't even know thisexists.
So it's really important to getout there.
I'm a CE.
I have a CE course here inNebraska for 1031s.
I'm trying to get certified ina few more states as well so we
can get out to land agents,inform clients, things like that
.
The education side is a reallyimportant factor for us.
Koby Rickertsen (10:49):
So you do continuing ed for real estate
agents.
Heath Bandars (10:52):
Yep, we have a one hour CE course, currently
only in Nebraska.
We're looking at Iowa, Kansas,Missouri, Wyoming, Colorado.
We're trying to get kind of thewhole Midwest.
We're based out of Omaha, wehave a crew of three and then we
do have a gentleman up inMinnesota and he's CE certified
as well in Minnesota.
(11:12):
So that's kind of our missionis education first and then from
there advise and help where wecan.
Koby Rickertsen (11:20):
So yeah, I like it.
You talked just a little bit afew seconds ago.
You started to go through likesome of the common types of
properties.
Let's just go through that.
I think that's one of thethings that people get snagged
on too is like I think theythink that you have to have a
high rise for a high rise andstuff like that.
Or I also think that somepeople think that you can go all
(11:46):
the way down to trading a highrise for a lake house if you
want to.
There are rules involved inthis because it is created for a
specific purpose.
Let's go through it.
Let's talk.
I mean and don't be afraid todig into this, because I do want
to I want people to understandhow this works and why we're
allowed to do it.
Heath Bandars (12:06):
Sure, so I'll start with what we primarily
work with here at the firm.
We work with what's calledDelaware Statutory Trusts.
These are called DSTs, thelingo in our world.
Delaware Statutory Trusts arebasically these large properties
managed by what we callsponsors.
(12:26):
These sponsors are vetted largecompanies that have purchased
or acquired 30 to 50 to 100million dollar buildings or
entities.
You can be a fractional ownerof that property.
So let's say it is a seniorliving center in Florida.
(12:49):
They're looking for clients tobe able to invest into that
property, which then you know,if you have a client, kobe, who
sells their their farm, theycould then turn around and
invest into this.
It's fully passive income, nomanagerial responsibility.
It's pretty well vetted.
(13:09):
We do a lot of due diligence togo into this and we've also
worked with all of thesesponsors for quite a while now,
especially Dave, our president,so we know who we like to work
with anywhere.
I mean dozens there's dozensout there but and then from
there you become a fractionalowner.
(13:29):
You get paid monthly passiveincome and then, in addition to
that, your overall investment isgoing to grow.
Anywhere between four to six toseven years is kind of how long
we see these properties lastfor the investment time.
So at that point you couldeither perform another 1031
(13:51):
exchange at the end of thatcycle what we call it or you
could say you know what I'mready to, here's my next game
plan.
And at that point that's whenyou'd have to pay your capital
gains tax.
So again, it's not a taxelimination.
At some point the governmentdoes get their share.
But there's succession planningwhere you know you can have
(14:14):
these continue to roll over.
If you pass at one point, yourkids can take over and continue
doing these.
There's a lot of differentscenarios out there.
A lot of times I let the QIs,the qualified intermediaries,
handle the details of that side.
But as far as identifying thesereplacement properties, that's
really where we come in.
We work with so many of thesesponsors, kobe, that we have
(14:37):
built an inventory, if you will,anywhere from 30 to 40 active
properties that are looking forinvestors, and we don't have to
play by any of.
We don't take a dime from anyof these DSTs.
So we don't have a set menu ourclients need to invest into or
have to invest into.
(14:58):
There's also opportunity zonesand REITs.
There's also a couple other,you know.
Trying to think oil and gas isanother big one, tix is another
one that's kind of a buzzwordright now.
So there's other options outthere too that exist, and again
we have no constraints to helpour clients go into those
(15:19):
investments.
So it's kind of what makes us alittle unique in the space.
Koby Rickertsen (15:24):
Yeah, no, that sounds fascinating and you know
like it's a horrible time totake a break, but that's what
keeps us edgy here.
So we're going to go ahead anddo that right now.
Yeah, you know, we're going totake a break, we're going to
come back and I really want todig into.
(15:49):
I know that this DSTs and someof the stuff you were just
talking about is a huge assetfor some of my clients that are
maybe trying to transition outof a long career of farming, but
they also, you know, when theysell their land, they don't know
exactly what to do with it.
You know, and so I think youguys might be their answer.
So hold on and we will be rightback.
(16:09):
The American Land Seller Podcastis brought to you in part by
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(16:34):
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Landhubcom where your landjourney begins.
And we are back here with HeathBanders from Clark Wealth
Management.
Is that right, Heath?
Heath Bandars (16:49):
Clark Wealth Strategies, but yeah.
Koby Rickertsen (16:51):
Strategies something.
Heath Bandars (16:52):
We do it all.
Koby Rickertsen (16:53):
I got Clark right.
Heath Bandars (16:54):
Yeah, there you go.
Koby Rickertsen (16:55):
Close.
I told you in the beginning ittakes me three segments to get
it right.
I got your name right.
Heath Bandars (17:01):
You only get one more chance, then Kobe, if
that's the case.
Koby Rickertsen (17:04):
I'm under a lot of pressure here.
I got to say I know a lot ofpeople are listening to this,
they're not watching it, but,man, you have the sexiest studio
.
I thought that Casey Mock whenhe was on.
I still think he probably hasone of the ones that is the top
one.
But, man, this is prettyawesome what you're doing, like
(17:29):
you guys look like you're readyto are.
Are you expecting fox news orsomebody to call you?
Is that are?
Heath Bandars (17:36):
you just ready?
I'm calling, that's I gottastay ready.
You know I gotta compete.
I don't want those ai generatedbackgrounds if they, if they
want us on, so yeah.
Koby Rickertsen (17:48):
I don't know if you've watched our show, you
know that, um, I put like alittle logo on the, you know
like your logo, down to thebottom right of your deal.
I don't even know if I need todo that.
Heath Bandars (17:57):
No, we got it, we got to cover it.
Koby Rickertsen (18:00):
Like kind of taken over my entire deal, but
let's, okay.
So let's, let's dig into, like,what's been really, really
awesome for a lot of my clients,which is DSTs and some of the
other stuff that you've talkedabout.
It's the reality is is thatwe've went through a generation
(18:24):
the world war two, the greatestgeneration and their goal was
keep the farm in the family anda lot of hard feelings came out
of that.
A lot of you know, because youhad, you know, siblings, that
kind of fought with each other,you know, and different things.
Now this current generation,they're you know, in different
(18:45):
things.
Now this current generationthey're you know they're looking
at their estate planning andthey're saying, hey, you know,
if the, if the kids aren't backfarming, let's just get rid of
the farm.
Let's figure out a way so thatthe kids can still be family and
not worry about land, right,right, and not worry about land,
right, right.
And it's a different world.
(19:06):
And so DSTs have been a realgood way to.
How do we say keep an asset,that is something that has
income to it, but these guysthey can sell their farm, trade
that for another property, haveincome.
(19:28):
Talk about how that works,heath, and how my guys that are
selling farmland right now, orthinking about selling farmland
right now, can turn their farminto maybe something that they
don't to pay like a ton of taxesright away.
Heath Bandars (19:45):
Right, yeah, so that's, the tax deferral piece
is probably the biggestadvantage, right.
But then when you look at itholistically, if you're a farmer
and your kids went to collegeand they're not coming back to
the farm because they studiededucation or went into finance
or something else we see that sooften now with our clients
(20:09):
where they just don't know whatto do, and we have a lot of
agents that call us and say, hey, I got a guy who's ready to
sell, but he has no clue whathe's going to buy after he's
done selling.
So that's where we can come inand say, hey, here's a whole
slew of options for you.
So that's where we can come inand say, hey, here's a whole
slew of options for you.
Tax deferred.
(20:36):
It's going to generate monthlypassive income, which most
farmers have never not workedand produced income that way,
right?
So the fact that it's handsfree makes it super enticing to
a lot of these guys.
Makes it super enticing to alot of these guys.
And then, on top of that, youcan kind of succession plan it,
if you will, for grandkids,college, or maybe you have a kid
in the state of Washingtonwho's looking to buy a house,
(20:56):
but they don't know wherethey're going to get the money
from.
Well, now, you can kind of planthose things out when you do
sell the farm, to not just helpyourself in your scenario but
also help the generations downthe road that aren't going in
farming but still family, stillpeople that you love.
So, yeah, the whole processreally can be life-changing for
(21:16):
a lot of clients.
Koby Rickertsen (21:19):
Well, and I mean, I think we learned a few
weeks ago right, where you know,like, if you had all your money
in the stock market, that was apretty scary week a few weeks
ago.
Not that it didn't rally, butyou know like, it's one of those
things that I think isfascinating because you're
technically, you know you're asilent investor in some of the
(21:39):
biggest projects that are goingon in the country.
You know, and, and so it's, andit's fairly.
I mean, nothing's safe, butit's a.
It's a.
It's a fairly efficient way toinvest your money.
And what I like about it and Ithink that's something that
maybe you should go into alittle bit is there is dividend
(22:01):
payments, or there could bemonthly payments, depending on
what projects that you get into.
There's rent that may be paidout to the investors on a
monthly, quarterly, annual basis, that kind of stuff.
Heath Bandars (22:15):
Yeah.
So I'll give you a good example.
We just had a $10 million farmexchange in Western Nebraska at
the start of the year and we hada CPA call us and say hey, I've
got a client.
It's a large farm deal.
Their kids are all somewhatinvolved in the deal as well,
but it's getting split betweenall the kids I think there was
(22:37):
three of them and they don'tknow what options exist.
So we came in, had a meeting.
Dave Clark, our president, wasable to sit them down and say
look, here's what we would do inyour scenario.
What do you guys think?
And what he did was he laid outa very diverse investment
(22:59):
portfolio, because $10 millionis quite a lot when it comes to
investing into these DSTs.
We're not going to put all ofthat money into one basket.
So these guys were able todivvy it up with a couple
multifamily properties, a couplestorage facility properties, a
couple senior living centers.
This divvied up plentiful sothat all the kids were able to
(23:23):
choose what they're investinginto, have a say in that, and
then at the end of the dealthey're now going to be
producing about $50,000 a monthin monthly income passively just
from sitting there.
Not only that, but then thesekids have their own children.
So now down the road, who knowswhat the grandchildren will
(23:44):
want to do with their lives,their own children?
So now down the road, who knowswhat the grandchildren will
want to do with their lives?
But they'll have money sittingin accounts that they'll be able
to take advantage of, whetherthey want to go to college or
whether they want to start abusiness, or maybe they want to
buy land and start their ownfarm.
You know, the options areendless for what it can do to a
family 30 years, 50 years, ahundred years down the road.
So for that particular scenarioworked out really well for what
(24:10):
they needed.
But I will also say too, everyclient has different wants and
needs.
Every client has a differentgoal that they're trying to get
to for their end game.
So we try to work with as manydifferent folks as we can.
A lot of times we work with notjust the land agent but we have
(24:32):
qualified intermediaries thatwe work with all the time that
these folks don't even know whatthat person does in the process
.
So we're able to kind of helpexplain that, help match them
with the right people that theycan all trust.
And again, that's the base ofour firm is fiduciary,
transparent advice.
We want what's best for theclient.
(24:54):
Not only is it our legalobligation to do so, but we just
kind of think that's the rightthing to do.
So we like that mindset andthat's how we approach it.
Koby Rickertsen (25:05):
So we like that mindset and that's how we
approach it.
Yeah, and that's I mean, that'sawesome that you're taking that
attack vantage.
I guess, on the industry, let'sgo back to okay, let's circle
back to the 1031.
Yeah, so the vehicle, the 1031,like I think a lot of people
(25:29):
don't really understand because,like, even in your company,
right, you have the fiduciary1031 company, right, and then
you have Clark Wealth Strategies.
I think I'm going to nail thisby the end, I'm pretty sure.
Heath Bandars (25:41):
You're doing great.
Koby Rickertsen (25:42):
Yeah, I'm confident, I'm confident.
So, clark, wealth Strategies,and then you have the 10.
I'm pretty sure You're doinggreat.
Yeah, I'm confident, I'mconfident.
So, clark, wealth Strategies,and then you have the 10.
Why do we have to have adifferent vehicle that holds the
money?
Because it seems silly topeople, right?
Because we have, 45 days afterwe've, you know, just go through
(26:03):
from the start to the finish ofa 1031 process.
Sure, walk us through that ifyou don't mind.
Heath Bandars (26:12):
Yeah, so I'll clarify one quick thing.
As far as our firm goes, clarkWealth and Fiduciary 1031 is
basically one holistic company.
Think of it that way we're theadvisors that match the clients
to a property, or a replacementproperty is what we call it.
We might get hit up two monthsbefore they're actually listing
(26:34):
that property for sale.
You might already be involved,kobe, you might be the one
contacting us, or the clientmight contact us.
Directly.
From there, we give the clientall their options and they say
oh, you know what?
I kind of like this multifamilyproperty in Tennessee and I
like this storage facility inNorth Carolina.
We kind of start mapping thatout for them as you're getting
(26:56):
ready to list the property.
So we're all working togetherin sync with that.
Then the sale of the propertyhappens.
They now have 45 days toidentify what that replacement
property is going to be.
That's where we really startworking and making sure we get
the paperwork filed.
That paperwork is going to getfiled to the qualified
(27:17):
intermediary.
The QI is going to hold thosefunds of the sale of the
property, because the clientcannot at any time hold those
funds.
Otherwise the government says,nope, that's capital gains.
We got to get our fair share.
So the QI is kind of the bridgebetween the start and the
finish of this transaction andthey really are the ones
(27:41):
facilitating the wholetransaction Once they get all
the paperwork they need filed.
Technically, 180 days is the endof this exchange period and
then from there about another 30to 60 days later.
That's when our investments theclient's investments that we
help match them with can startkicking in and working for that
(28:03):
monthly passive income.
So hopefully that paints a goodpicture of kind of the whole
process from start to finish.
It almost sounds too good to betrue at times because, like I
just mentioned, we have a clientwho's now making $50,000 a
month in passive income and theydidn't even know that existed
before we talked to them.
So these things are out thereto help, you know, our farmers
(28:26):
in the Midwest, our farmers.
We deal with everyone fromCalifornia to New York.
We see it all.
Koby Rickertsen (28:34):
Right, and so, like folks like me I mean we
have a few, you know, colleaguesthat listen to the show.
Know colleagues that listen tothe show, um, folks like me that
the the plan should be right isto bring you on as a partner
and like, sit down with ourclients and say, hey, these are
your options, right, right, likehere's the stuff we can.
(28:58):
You know, like you're afraidthat you're going to get taxed,
or you're you know you don'tknow what to do with your money,
and you know, like there's somany you know, or you're you
know you don't know what to dowith your money and you know,
like there's so many you know,like there's.
You know it's kind of likewinning the lottery.
You farmed your whole life andnow all of a sudden you have a
commodity that's finally worth,something you know, right, what.
What do we do with it?
To kind of make sure we havesomething that that you know,
(29:19):
that's a that we can protect ourwealth until our end.
When's a good point to bringyou on?
Heath Bandars (29:28):
We like to be ahead of the sale, but with that
in mind, we also have a quickturnaround time.
So that's a big advantage tothe client and to land agents is
, it could be day 43 or 44 ofthe process and plans might fall
(29:48):
through.
You guys, give us a call, wecan give you some options that
the client's going to not onlybe satisfied with but still save
the exchange.
So they're not paying capitalgains tax.
We don't love those scenariosbecause it's kind of poop
hitting the fan, if you will.
But we like to be out in frontof it, sit down, take the time.
We're also.
We kind of have a road show.
So we like to get out on the ofit, sit down, take the time.
We're also.
We kind of have a road show.
So we like to get out on theroad, go meet our clients,
(30:09):
whether it's at their kitchentable, whether it's coffee,
perhaps a beer every once in awhile, kobe, you know.
So we like to get out andreally make sure they understand
what it is they're getting into, what they want to get into,
and then from there there's athorough plan in place.
Koby Rickertsen (30:30):
Yeah, no, I that that, realistically, is the
goal, right.
So we can't just be sticky yardsign in, and and even in my
industry you can't just besticky yard sign in and wait for
the neighbor to call anymore.
You have to be the completegambit.
You have to figure out a way tofind.
You know how to create the mostvalue for your clients and you
(30:55):
know that includes findingpeople like you, Heath, to
partner with to.
You know, bring on, and youknow, like we've talked about it
, I've got some clients that youknow we're slow walking them
through some stuff and I thinkone of these days they're going
to sit down with you and find,find out that I think you're the
answer that they're looking for.
(31:16):
It's just, you know, when you'redealing with family farm that's
been in the family for a longtime, I understand it, it's a
lot.
You know it's just a lot.
Farm that's been in the familyfor a long time, I understand it
.
Um, it's a lot.
You know it's just a lot.
It's emotional, it's more thanjust, uh, you know it's more
than just a commercialtransaction or right, right,
it's, it's a big deal.
(31:37):
So you got to understand that.
Hey, bud, um, we're going totake one last break and, uh, if
you got got time, we're going tocome back and spend a little
bit more time with you learningabout January 1031 and what you
guys are up to.
We will be right back.
Carrie Rickertsen (31:54):
Land isn't just dirt.
It's where memories are made,families are raised and
livelihoods are built.
But when it comes time to sellor buy, the weight of the
decision is heavy.
Where do you even start?
Who can you trust to guide you?
(32:16):
For too long, land transactionshave been treated like a simple
exchange Numbers on a paper, asignature on a line.
But it's more than that.
At High Point Land Company, wedon't just list land, we walk it
.
We learn its story and we findthe right buyer who understands
(32:39):
its worth.
You are not just another deal.
You are the steward ofsomething bigger and we're here
to help you navigate every stepof the way when it's time to
sell, when it's time to buy.
(33:00):
We're here Because land is morethan just land.
It's your legacy.
Koby Rickertsen (33:25):
All right, we are back here with Heath Banders
from fiduciary 1031.
That is a partnership or thesame company or something.
I don't know.
That's the only thing I haven'tquite figured out here.
Heath is, but it is with Clarkwealth strategies.
That's David Clark's company,um, and so I think I got most of
(33:46):
that right in the third segmenthere, how'd.
Heath Bandars (33:50):
I do you passed.
Koby Rickertsen (33:52):
I passed.
I'm going to get like an 82 atleast.
Yeah, we're solid D plus,Alright, so you know, it's the
American Land Seller podcast, soI would be remiss if I did not
turn this all around and make itall about me in the end.
So, heath, let's talk about howyou can help land sellers like
(34:15):
myself benefit our clients.
How do we best use you and yourtools and team?
Heath Bandars (34:25):
Yeah, well, for one, we're always here as a
resource.
So never hesitate to give us acall if you have a client that
doesn't know what they're goingto do, especially if they're
stuck on the sideline with hey,I have $2 million worth of land.
I know it's worth $2 million,but I don't know what my next
move is.
(34:45):
Well, a lot of land agents callus and say can you please,
please, talk to our client andgive them some of your options
so that we can move forward withthem.
We're happy to help on thatfront.
Also, sometimes we get callsfrom you guys.
Someone just did a deal and theyhave a little bit of leftover
taxable boot.
Maybe it's $50,000, maybe it's$100,000, but they still don't
(35:10):
want to pay taxes on it.
We can help them invest thattoo so that they avoid that
taxable boot.
And then the other big thing isour quick turnaround.
We can really, like I said, ifpoop hits the fan day 44, your
client doesn't know what they'regoing to do, but they have a
million bucks that might gettaxed.
Give us a call and we can helpand we're happy to.
(35:32):
So those are the three keytakeaways.
I would say we can help landagents, but really again on that
education front.
I do the CE courses.
I do 15 minutes on a teammeeting.
I do an hour on a team meeting.
That's not the CE courses.
I do 15 minutes on a teammeeting.
I do an hour on a team meeting.
That's not the CE course.
And I just want to help informpeople about 1031s, what their
(35:53):
clients could potentially investinto, and see if we can help
some folks out.
Koby Rickertsen (36:00):
Yeah, I think that's kind of the thing that
when we were sharing our bowl ofamazingness down in Arizona at
that restaurant, I think that'sthe one thing that I really took
away from meeting with you andyour team.
There was just how you guys havethis big heart to help people.
You can always tell when you'retalking to people there's
(36:23):
people that, there's people thatyou can just you just know that
they're like all they are aboutis like walking away with a
check, you know, and then yougot the people that the check is
like the by-product of just thethe process.
You know the other guys thatwere there, uh, that we, um,
(36:44):
that we were dealing with somepeople that that genuinely just
loved what they did, loved theprocess and and really were
there for the joy of of, uh,matching people with the right
with the right project and so,uh, so I did, did appreciate
that, um, when we were hangingout, um, what's like a minimum?
(37:05):
Like I mean, I've got aproperty right now we're getting
you know, like we got on themarket $320,000, 80, a little
pasture out here we're trying tosell.
Is that something that's goingto be?
You know, my clients would bequalifying with you or is that
just too low?
Heath Bandars (37:24):
Absolutely no, these DST sponsors.
They like to work with numberslike 100,000 or 200,000.
We have a relationship that'sstrong enough with those guys
now where, if we come to themand say, hey, we have a farmer
out in Western Nebraska who heonly has 50,000 of leftover
taxable boot but wants to investit into your property, they're
(37:48):
not even going to think twice.
They're going to say, yep, weknow your guys' process, we know
how it works, we're happy tohelp and, uh, we can.
We can make that work for sure.
Koby Rickertsen (37:57):
So that's really cool.
Okay, so we got 50,000 in howlong we locked into it, for you
know like is there?
I mean everybody knows it rains, tornado, whatever storm
happens.
How do I get my money out?
You know what's?
What's that process look like?
Heath Bandars (38:16):
Well, since we just had two tornadoes left and
right of Omaha, I'll kind ofstart there.
So there are insurances inplace to protect a client.
I won't get into the nittygritty, but there are some
safety vows there.
And then on top of that we callthem cycles.
Traditionally these DSTs have a10-year cycle, but year four it
(38:41):
could end up coming full cycleand they could say, yep, we
achieved what we needed to andwe're going to cash out now.
At that time the client canchoose to do another exchange or
they can say, yep, I'm happy, Igot what I needed and we're
good.
So we typically see anywherefrom five to seven, four to six
years for these cycles, four tosix years for these cycles.
(39:08):
But again, if you're someonethat has multiple eggs in
different baskets, you mighthave a DST come full cycle after
year three or four, and thenanother property of yours that
you invested in might be yearsix, Another one might be year
eight.
So really it depends on theproperty type, the sponsor,
whoever you're investing with.
There's a lot of factors thatcan play into it.
But expect that going into it,there are some ways you can get
(39:34):
out of it.
If you needed to have thatliquid cash.
It's a little bit challengingbut we can work with things with
the sponsor to help facilitatethat as well as far as them
getting cash needed for whatevermight be thrown at you in life.
So, yeah, there's a lot ofdifferent scenarios, but again,
we have the resources.
(39:54):
We know the QIs, we know thesponsors, land agents that we
can call and say, hey, what doyou think about this?
We're also not trying to be thesmartest people in the room,
because I know for sure I'm notthe smartest people in the room,
because I know for sure I'm notthe smartest person in the room
.
So if we don't know something,we always know someone who does
and we're one call away fromfrom those contexts.
So it's important to us as well.
Koby Rickertsen (40:17):
Yeah, that's one of the things I like to say
is that's the smartest thing Iknow is that I'm not the
smartest one, so I know mostpeople.
Heath Bandars (40:24):
Does that make you the smartest?
Koby Rickertsen (40:25):
in the room, knowing that I think there's
math, that I could probably finda smart person that could, you
know, make me math it out for meto be that.
I think there's a way.
Yeah, all right.
So we've talked about DSTs,things like that.
You've also like oil, gas, someof this other fun stuff.
(40:47):
You know, we've got some timeleft.
Let's go crazy.
Let's talk about some other funstuff you guys are playing with
.
Heath Bandars (40:54):
Yeah, you know oil and gas you mentioned those
are mineral rights.
Depending on the time of theyear, you might be getting some
really great cash on cashreturns and other times you
might not get any.
And that's part of investing inthat strategy.
We have a lot of folks that usethat as part of that
diversification factor.
(41:14):
So, especially someone thatsells a million dollar, two
million dollar farm, they mightsay, hey, I want two hundred
thousand in that.
A couple other things areupreets.
Uh, we've seen that lately wehad a client who called and said
hey, I want to do an uprete,which those cycles usually last
upwards of 20, 25 yearssometimes.
(41:34):
And you're kind of locked in Uh, once you do that, you can not
have another, another exchangeperformed afterwards.
Do that, you cannot haveanother exchange performed
afterwards.
But again, when it comes tosuccession planning and things
like that, this particularclient wanted his son to have a
college fund sitting and waitingfor him in a trust when all
things were said and done.
(41:55):
So there's a ton of strategiesyou can get into the weeds on.
I would suggest anyone that'sout there that's interested in
those things you just got togive us a call.
Don't be afraid to ask.
Don't be afraid to talk aboutit with your clients.
The scariest question to ask iswhat are your plans after you
sell the farm?
And most of the time they'regoing to respond and say well,
(42:17):
that's none of your damnbusiness, right?
Well, we want it to not be ourbusiness, but we want to help
make sure you know what you'regetting into.
Koby Rickertsen (42:26):
So yeah, Well and again, like that's.
You're right, you're right.
That's.
A lot of what I get is is, youknow, like what's.
But I think the best questionto ask more so is is like what's
holding you back on this?
You know, and a lot of timesthat's what it is.
Sure, I don't want to give ableepity, bleeping government my
money you know and so and sothat's where you can kind of oh
(42:50):
well, there's solutions for that.
So, most definitely, what'skind of the craziest project
you've seen that you guys havebeen able to have some fun
investing in.
That's some local.
Omaha stuff, haven't you Like?
We're from Nebraska.
Heath Bandars (43:06):
So yeah, there's been a podcast from Nebraska.
Koby Rickertsen (43:09):
That's rare anymore.
Heath Bandars (43:11):
The crazy stuff that happens to us, kobe, is
when we're sitting at the tableand there's three siblings,
which any farm sale knows thatthere's always some family
conflict involved and we try tomediate it as best as we can,
but when one sibling wants to doone thing, the other two want
to go a different route.
That can be a really tough,scary situation.
(43:34):
At times you may not end upselling the farm, which, at the
end of the day, if that's whatthey decide to do, that that's
perfectly within their rights,right, and you want them to all
be happy at the end of it.
We've seen all kinds ofscenarios 24 people involved in
a sale of a golf course, thatyou know how are we going to
(43:56):
divvy this up and get so farinto the weeds of things.
But yeah, we've seen it all.
We hope that it can be assimplified and as easy for
everyone involved and we alsohope that everyone walks away
getting what they want out of it.
More importantly, too, ninetimes out of 10, we want you
(44:17):
guys, as land agents, to be ableto be on both sides the sale of
the property and the buy, asland agents, to be able to be on
both sides the sale of theproperty and the buy, whatever
they're going to buy next.
We just want to be the one timethat someone is saying, hey,
I'm done, I'm ready to be done,ready to be out, I'm selling the
farm.
That's where we can come in andkind of make that impact.
So yeah, to your point.
(44:38):
It can be crazy at the kitchentable with those conversations,
but we do our best.
Koby Rickertsen (44:45):
Yeah Well, and, like I said, I go back to this.
We've talked about thatnumerous times.
It comes back to creating valueand that's, realistically, I
think you know, like lookingacross where the world is going,
especially in the world of realestate.
We just went a month or so agoto Arizona to the National Land
(45:10):
Conference and those guys in RLI, the Realtors Land Institute,
and that hang out at theNational Land Conference that is
where the future of the land,real estate is.
And the guys that we deal withthat want to.
Just, you know they, they don'twant to share, they don't want
to cooperate, they don't want towork together.
They, you know this is the waywe've always done it.
(45:31):
You know, I think that that's,that's a scary future for them.
I just don't know how thatworks.
Going forward, again, I may bewrong, but I just there's so
many different things out thereto help people transition to a
better place that's safer forthem.
And again, you know, this isjust one of those tools that you
(45:55):
guys have that to me, is just,it's phenomenal for our clients
to at least take a look at yeah,yeah.
Heath Bandars (46:03):
I think our biggest thing too, at the end of
it, is trust.
Uh, you want to be able to havelunch or a beer with the people
you're working with and know,after all is said and done, they
also have their, that they haveyour best interests in mind, so
, um, that's why we try to be astransparent as possible when it
(46:23):
comes to helping these guys.
Koby Rickertsen (46:25):
Well, and like people that have worked with me
before know that I am like the,I'm so fun and loving and have,
I am the greatest guy to workwith or I'm the biggest
nightmare, like married, likedon't if you don't take care of
(46:46):
my folks, right?
Yeah, exactly, there's a sybilto to me too, and I kind of you
know I've had people that, uh,you know they're like, why are
you so mad?
And I'm like you know, like Ithought you know, because, yeah,
I referred you, ma'am, look atyou this is my neck on the line.
Now we have got to take care ofour people.
You know we got to take care ofour client.
That's our job.
So, yeah, no, it's been fungetting to know you guys.
(47:08):
I'm looking forward to thedeals in the future and helping
our clients.
How do we get a hold of you,heath, if somebody is looking
for you other than just reachout to me, and I'll make sure
that if they get a hold of meI'll get you in touch with you
and we'll put your contactinformation in the show notes,
if that's all right with you.
Heath Bandars (47:29):
Yeah, absolutely.
We do have a websitefiduciary1031.com.
We're also on LinkedIn,facebook.
I also am starting an Instagrampage, the fiduciary1031guy.
It's going to be a lot ofeducational pieces on there.
I'm not going to bombard peoplewith weird content, it's just
going to be more quick hittersto remind you that, hey, we
(47:52):
exist, we can help clients inthis scenario, that scenario.
And then we're always a phonecall away or a text away.
I mean, it could be Saturdaynight at five o'clock again, not
ideal, but day 44 and clientsplans fell through and we're
happy to take that call.
So Yep.
Koby Rickertsen (48:10):
I know you are and yeah, you got to do
something, that Instagram thing,you got to do something with
that fancy studio until five.
Heath Bandars (48:16):
I know right, it's good use.
Koby Rickertsen (48:17):
So, yeah, somebody's got to got to call.
That is really cool, though Igot to.
You know my office, I mean,that's what mine's been forever,
but now that I have my owntheme music, keith, I yeah, I'm
pretty sure.
I'm pretty sure I need to startworking on my own studio.
Heath Bandars (48:35):
I'm thinking well , you got the Husker sign.
That's the most important thing.
Koby Rickertsen (48:38):
No, huskers.
Heath Bandars (48:39):
Yeah, go Big Red.
Koby Rickertsen (48:40):
For sure no, but anyway, well, sir, I
appreciate so much that you tookthe time to do this and look
forward to catching up with youin the near future.
Heath Bandars (48:52):
Thanks, kobe, appreciate it.
Koby Rickertsen (48:54):
Thank you and we will see you all down the
road as we wrap up anotherepisode of the American Land
Seller.
Announcer (48:57):
Podcast as we wrap up another episode of the American
Land Seller Podcast.
Thank you for joining us.
Visit wwwamericanlandsellercomand find us on one of your
favorite podcast platforms.
If you would be so kind and youenjoyed today's insights,
please like, subscribe, rate,follow and review us on whatever
app you are listening orwatching on.
(49:19):
Connect with us on social mediafor updates Until next week.
Kobe wishes you success in yourland endeavors.
God bless you and have a greatweek.
Koby Rickertsen (49:29):
The American Land Seller is brought to you in
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Today on the American Land Seller, we're
unpacking a topic that's come upbefore, but it's so important
we're going to dive back in the1031 exchange.
If you're a landowner, investoror real estate professional,
understanding how to defer taxesthrough a 1031 could mean the
difference between saving andreinvesting tens or even
(00:22):
hundreds of thousands of dollars.
I'm joined today by HeathBanner, exchange Liaison at
Clark Wealth Strategies, afiduciary firm that specializes
in 1031 exchange solutions.
Heath works at the intersectionof land sales, wealth
management and client education,partner with qualified
intermediaries and land agentsto guide their clients towards
(00:46):
smart passive replacementoptions that align with their
goals.
It brings a unique backgroundfrom the banking world and now
teaches continuing educationclasses on 1031 exchanges,
currently certified in Nebraskaand expanding into other states.
Now in this episode, we're goingto break down what a 1031
exchange really is.
(01:06):
No jargon, just the facts, realworld scenarios where it can
help farmers, ranchers andinvestors.
What land agents must know toadd value for their clients in
these situations.
And yes, we've covered 1031exchanges before on this podcast
, but if you think you alreadyknow it, all this conversation
is going to surprise you.
(01:26):
He shares new insights andperspectives that show just how
many opportunities and pitfallsexist in this space.
So whether you're looking toprotect your capital gains,
unlock some passive income, oryou're an agent simply wanting
to better serve your clients,this episode might just be a
must-listen to.
Announcer (01:48):
Welcome to the American Land Seller Podcast
with your host, coby Rickardson.
Coby is an accredited landconsultant and multi-state land
broker with High Point LandCompany.
Join us each week as we exploreall things land.
We bring you fresh insights andexpert guests on sales,
marketing, regulations,economics and so much more.
(02:08):
Visit wwwamericanlandsellercomand find us on one of your
favorite podcast platforms.
Carrie Rickertsen (02:16):
Okay, Kobe and our special guests, let's
get started.
Koby Rickertsen (02:20):
Hey, all right, we're back here with the
American Land Seller Podcast,episode 36.
So I guess, what is this 36,?
37 today, heath, how do youfeel about 37?
Heath Bandars (02:35):
37?
I'm trying to think of anygreat sports athletes that I
admired growing up.
37, not necessarily coming tomind, but maybe we'll make the.
We'll make the number famous.
You know, who knows?
Koby Rickertsen (02:48):
yeah, I think that's exactly what we're gonna
have to do.
We have heath banders fromclark wealth strategies.
Heath, how are you this fineday?
Heath Bandars (02:59):
good, it's good friday, um everything's going
smooth, world's spinning, wespinning.
We're doing good, we're living,we're breathing.
Life is good.
So yeah.
Koby Rickertsen (03:10):
So tell us just a little bit about Clark Wealth
Solutions or Clark WealthStrategy.
I tell everybody there's threesegments to this show because I
need three segments to get yourname, your company and what you
do right.
So if you could just tell us alittle bit about what it is
you're up to.
We've talked about 1031exchanges on this show before,
but they are so important and soI wanted to bring you on to
(03:33):
maybe just dig into the nuts andbolts, maybe talk just a little
bit about, like, the machine ofa 1031, how it exactly works
and how it benefits our clientsand your clients.
Heath Bandars (03:45):
Yeah, absolutely so.
To start Clark WealthStrategies.
We were founded in 2008 by ourpresident, dave Clark.
In the middle of a recession,he thought what a great idea to
start a wealth planning firm.
So it worked out that firstyear and he thought well, if I
got through the recession, Imight have something here.
(04:05):
We were a traditional wealthplanning wealth management firm
up until about 10 years ago whenDave performed his first 1031
exchange.
Now Clark Wealth still existsand we still do the wealth
planning side, but we also havea subsidiary called Fiduciary
1031 Exchange Solutions.
(04:26):
That's kind of our new focusnow.
Dave did his first 1031 exchangein 2015 or 2016, and then kind
of just discovered man, thisindustry really is missing
someone who does things afiduciary way, who does things a
fiduciary way, transparentsolutions for clients, no set
(04:46):
menu for clients, but reallywhatever a client wants to
invest in and do, they should beable to do that.
So that's where Fiduciary 1031was born.
I've been with the firm forabout two years going on three
years now and my role at thefirm is a 1031 exchange liaison,
which is just a very fancy wayof saying I'm a connector.
(05:09):
So I connect with clients, landagents, qualified
intermediaries with us to helpidentify replacement properties
for the client when performing a1031.
Sounds like a lot, sounds kindof like a math equation a little
bit, but as we get into it I'mhappy to kind of explain that
process and where we come intoplay and how we help you guys
(05:33):
out.
Koby Rickertsen (05:35):
Okay.
So let's just start because,like we had the guys from
accrued on before, you knowthose guys, great, great guys.
Um, you, just a couple weeksago you were just talking about
that before we started that youjust ran into, uh, one or both
of those guys out in washingtondc.
As you guys were flexing yourgiant muscles, you know
(05:56):
wrestling the congressman andthe senators, you know making
sure that they understand howimportant a 1031 exchange is for
the world of real estate.
Let's just so it's alwaysconfusing for people let's just
start with a quick 1031refresher.
All right?
In simplest terms, for those ofus that are slow like me, what
(06:20):
exactly is a 1031 exchange?
Heath Bandars (06:22):
Yep.
So if you are someone who ownsa commercial property or land
and you sell that property, thegovernment has a tax code called
the 1031 tax code that allowsyou to exchange or sell that
property and put the investmentsinto another property to defer
capital gains and depreciationrecapture tax.
(06:46):
So it's not a loophole.
You're not eliminating the tax,you are deferring the tax and
then you can reinvest it intoanother property and the
government says that is asuccessful completion of a 1031
exchange.
Koby Rickertsen (07:02):
Right.
So you're not.
You're not.
It's basically like we've kindof heard about that with our
current president through someof the politics, stuff of like
you're not dodging taxes withthis.
You're essentially like it's atool that the government's used
to help create reinvestment inreal estate.
Correct, I mean, essentiallythat's what keeps people wanting
(07:25):
to do projects, sell projects,reinvest in new projects.
Heath Bandars (07:30):
Right, and it's been around since 1921,
originally, primarily to helpfarmers and people in the ag
industry.
So it's been around for forever.
As you mentioned, I was just inDC.
Both sides of the aisle usethis personally, in addition to
um mostly supporting it.
We had talks a couple of yearsback about a potential cap to be
(07:54):
put on on exchanges.
Um, we had so much.
I think it was around 600billion in GDP that this
industry alone adds, so it wouldbe detrimental if this goes
away at any point, which is whywe do some lobbying.
We're members of the Federationof Exchange Accommodators, the
(08:14):
FEA.
That's a pretty big componentto our work and making sure that
farmers around the Midwest,around the whole country, are
able to still continue takingadvantage of this, because it
really can benefit them inretirement succession planning.
(08:34):
Maybe it's a boat for theirretirement home, you know,
whatever they want to do withthese funds, that can be a
substantial amount of additionalincome, so it's important.
Koby Rickertsen (08:47):
Yeah, you had talked about like we just talked
about you going to Washingtonand you know, like I think it's
interesting that, on what peopledon't realize, with like
Washington DC and the new classof congressmen that just came in
earlier this year and the newsenators, is like what I've
learned in, as you know, growingin the industry, getting more
(09:09):
involved in it, is the educationthat you have to have on the
new guys that come in there.
Because you know, if you go,look at the tax system and say I
think you know like what's, thefirst thing you look at is like
, hey, I could solve the entiretax system by just putting an X
through the 1031 exchange.
Like let's just tax all theseland transfers and these
property transfers and that's ahuge amount of wealth we could
(09:32):
bring into the government, right, right.
And so we have to go andeducate those guys on that.
Probably those transfers aren'tgoing to happen without the
1031.
I mean, that's the way Iunderstand it.
Heath Bandars (09:44):
Yeah, not only that, but just think about the
amount of jobs 1031s create.
I mean, there's all kinds ofproperties you can exchange into
there's multifamily, there'ssenior living centers, there's
storage facilities.
The list goes on and on.
And all of those facilities andbusinesses have to run somehow.
They require people andbusinesses have to run somehow.
(10:04):
They require people.
We estimated in a survey from2021, so it's probably not even
an up-to-date, accurate number,but it was close to a million
jobs that 1031s create each yearin the country.
I'm sure it's even higher thana million now, but that's pretty
astronomical for what we'reable to do and a lot of people,
(10:25):
like you said, it's theeducation piece.
They just don't even know thisexists.
So it's really important to getout there.
I'm a CE.
I have a CE course here inNebraska for 1031s.
I'm trying to get certified ina few more states as well so we
can get out to land agents,inform clients, things like that
.
The education side is a reallyimportant factor for us.
Koby Rickertsen (10:49):
So you do continuing ed for real estate
agents.
Heath Bandars (10:52):
Yep, we have a one hour CE course, currently
only in Nebraska.
We're looking at Iowa, Kansas,Missouri, Wyoming, Colorado.
We're trying to get kind of thewhole Midwest.
We're based out of Omaha, wehave a crew of three and then we
do have a gentleman up inMinnesota and he's CE certified
as well in Minnesota.
(11:12):
So that's kind of our missionis education first and then from
there advise and help where wecan.
Koby Rickertsen (11:20):
So yeah, I like it.
You talked just a little bit afew seconds ago.
You started to go through likesome of the common types of
properties.
Let's just go through that.
I think that's one of thethings that people get snagged
on too is like I think theythink that you have to have a
high rise for a high rise andstuff like that.
Or I also think that somepeople think that you can go all
(11:46):
the way down to trading a highrise for a lake house if you
want to.
There are rules involved inthis because it is created for a
specific purpose.
Let's go through it.
Let's talk.
I mean and don't be afraid todig into this, because I do want
to I want people to understandhow this works and why we're
allowed to do it.
Heath Bandars (12:06):
Sure, so I'll start with what we primarily
work with here at the firm.
We work with what's calledDelaware Statutory Trusts.
These are called DSTs, thelingo in our world.
Delaware Statutory Trusts arebasically these large properties
managed by what we callsponsors.
(12:26):
These sponsors are vetted largecompanies that have purchased
or acquired 30 to 50 to 100million dollar buildings or
entities.
You can be a fractional ownerof that property.
So let's say it is a seniorliving center in Florida.
(12:49):
They're looking for clients tobe able to invest into that
property, which then you know,if you have a client, kobe, who
sells their their farm, theycould then turn around and
invest into this.
It's fully passive income, nomanagerial responsibility.
It's pretty well vetted.
(13:09):
We do a lot of due diligence togo into this and we've also
worked with all of thesesponsors for quite a while now,
especially Dave, our president,so we know who we like to work
with anywhere.
I mean dozens there's dozensout there but and then from
there you become a fractionalowner.
(13:29):
You get paid monthly passiveincome and then, in addition to
that, your overall investment isgoing to grow.
Anywhere between four to six toseven years is kind of how long
we see these properties lastfor the investment time.
So at that point you couldeither perform another 1031
(13:51):
exchange at the end of thatcycle what we call it or you
could say you know what I'mready to, here's my next game
plan.
And at that point that's whenyou'd have to pay your capital
gains tax.
So again, it's not a taxelimination.
At some point the governmentdoes get their share.
But there's succession planningwhere you know you can have
(14:14):
these continue to roll over.
If you pass at one point, yourkids can take over and continue
doing these.
There's a lot of differentscenarios out there.
A lot of times I let the QIs,the qualified intermediaries,
handle the details of that side.
But as far as identifying thesereplacement properties, that's
really where we come in.
We work with so many of thesesponsors, kobe, that we have
(14:37):
built an inventory, if you will,anywhere from 30 to 40 active
properties that are looking forinvestors, and we don't have to
play by any of.
We don't take a dime from anyof these DSTs.
So we don't have a set menu ourclients need to invest into or
have to invest into.
(14:58):
There's also opportunity zonesand REITs.
There's also a couple other,you know.
Trying to think oil and gas isanother big one, tix is another
one that's kind of a buzzwordright now.
So there's other options outthere too that exist, and again
we have no constraints to helpour clients go into those
(15:19):
investments.
So it's kind of what makes us alittle unique in the space.
Koby Rickertsen (15:24):
Yeah, no, that sounds fascinating and you know
like it's a horrible time totake a break, but that's what
keeps us edgy here.
So we're going to go ahead anddo that right now.
Yeah, you know, we're going totake a break, we're going to
come back and I really want todig into.
(15:49):
I know that this DSTs and someof the stuff you were just
talking about is a huge assetfor some of my clients that are
maybe trying to transition outof a long career of farming, but
they also, you know, when theysell their land, they don't know
exactly what to do with it.
You know, and so I think youguys might be their answer.
So hold on and we will be rightback.
(16:09):
The American Land Seller Podcastis brought to you in part by
LandHubcom.
Join us today and experiencethe expertise of LandHub's land
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Let us show you the way in theever-evolving world of land
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(16:34):
marketing looks like.
Landhubcom where your landjourney begins.
And we are back here with HeathBanders from Clark Wealth
Management.
Is that right, Heath?
Heath Bandars (16:49):
Clark Wealth Strategies, but yeah.
Koby Rickertsen (16:51):
Strategies something.
Heath Bandars (16:52):
We do it all.
Koby Rickertsen (16:53):
I got Clark right.
Heath Bandars (16:54):
Yeah, there you go.
Koby Rickertsen (16:55):
Close.
I told you in the beginning ittakes me three segments to get
it right.
I got your name right.
Heath Bandars (17:01):
You only get one more chance, then Kobe, if
that's the case.
Koby Rickertsen (17:04):
I'm under a lot of pressure here.
I got to say I know a lot ofpeople are listening to this,
they're not watching it, but,man, you have the sexiest studio
.
I thought that Casey Mock whenhe was on.
I still think he probably hasone of the ones that is the top
one.
But, man, this is prettyawesome what you're doing, like
(17:29):
you guys look like you're readyto are.
Are you expecting fox news orsomebody to call you?
Is that are?
Heath Bandars (17:36):
you just ready?
I'm calling, that's I gottastay ready.
You know I gotta compete.
I don't want those ai generatedbackgrounds if they, if they
want us on, so yeah.
Koby Rickertsen (17:48):
I don't know if you've watched our show, you
know that, um, I put like alittle logo on the, you know
like your logo, down to thebottom right of your deal.
I don't even know if I need todo that.
Heath Bandars (17:57):
No, we got it, we got to cover it.
Koby Rickertsen (18:00):
Like kind of taken over my entire deal, but
let's, okay.
So let's, let's dig into, like,what's been really, really
awesome for a lot of my clients,which is DSTs and some of the
other stuff that you've talkedabout.
It's the reality is is thatwe've went through a generation
(18:24):
the world war two, the greatestgeneration and their goal was
keep the farm in the family anda lot of hard feelings came out
of that.
A lot of you know, because youhad, you know, siblings, that
kind of fought with each other,you know, and different things.
Now this current generation,they're you know, in different
(18:45):
things.
Now this current generationthey're you know they're looking
at their estate planning andthey're saying, hey, you know,
if the, if the kids aren't backfarming, let's just get rid of
the farm.
Let's figure out a way so thatthe kids can still be family and
not worry about land, right,right, and not worry about land,
right, right.
And it's a different world.
(19:06):
And so DSTs have been a realgood way to.
How do we say keep an asset,that is something that has
income to it, but these guysthey can sell their farm, trade
that for another property, haveincome.
(19:28):
Talk about how that works,heath, and how my guys that are
selling farmland right now, orthinking about selling farmland
right now, can turn their farminto maybe something that they
don't to pay like a ton of taxesright away.
Heath Bandars (19:45):
Right, yeah, so that's, the tax deferral piece
is probably the biggestadvantage, right.
But then when you look at itholistically, if you're a farmer
and your kids went to collegeand they're not coming back to
the farm because they studiededucation or went into finance
or something else we see that sooften now with our clients
(20:09):
where they just don't know whatto do, and we have a lot of
agents that call us and say, hey, I got a guy who's ready to
sell, but he has no clue whathe's going to buy after he's
done selling.
So that's where we can come inand say, hey, here's a whole
slew of options for you.
So that's where we can come inand say, hey, here's a whole
slew of options for you.
Tax deferred.
(20:36):
It's going to generate monthlypassive income, which most
farmers have never not workedand produced income that way,
right?
So the fact that it's handsfree makes it super enticing to
a lot of these guys.
Makes it super enticing to alot of these guys.
And then, on top of that, youcan kind of succession plan it,
if you will, for grandkids,college, or maybe you have a kid
in the state of Washingtonwho's looking to buy a house,
(20:56):
but they don't know wherethey're going to get the money
from.
Well, now, you can kind of planthose things out when you do
sell the farm, to not just helpyourself in your scenario but
also help the generations downthe road that aren't going in
farming but still family, stillpeople that you love.
So, yeah, the whole processreally can be life-changing for
(21:16):
a lot of clients.
Koby Rickertsen (21:19):
Well, and I mean, I think we learned a few
weeks ago right, where you know,like, if you had all your money
in the stock market, that was apretty scary week a few weeks
ago.
Not that it didn't rally, butyou know like, it's one of those
things that I think isfascinating because you're
technically, you know you're asilent investor in some of the
(21:39):
biggest projects that are goingon in the country.
You know, and, and so it's, andit's fairly.
I mean, nothing's safe, butit's a.
It's a.
It's a fairly efficient way toinvest your money.
And what I like about it and Ithink that's something that
maybe you should go into alittle bit is there is dividend
(22:01):
payments, or there could bemonthly payments, depending on
what projects that you get into.
There's rent that may be paidout to the investors on a
monthly, quarterly, annual basis, that kind of stuff.
Heath Bandars (22:15):
Yeah.
So I'll give you a good example.
We just had a $10 million farmexchange in Western Nebraska at
the start of the year and we hada CPA call us and say hey, I've
got a client.
It's a large farm deal.
Their kids are all somewhatinvolved in the deal as well,
but it's getting split betweenall the kids I think there was
(22:37):
three of them and they don'tknow what options exist.
So we came in, had a meeting.
Dave Clark, our president, wasable to sit them down and say
look, here's what we would do inyour scenario.
What do you guys think?
And what he did was he laid outa very diverse investment
(22:59):
portfolio, because $10 millionis quite a lot when it comes to
investing into these DSTs.
We're not going to put all ofthat money into one basket.
So these guys were able todivvy it up with a couple
multifamily properties, a couplestorage facility properties, a
couple senior living centers.
This divvied up plentiful sothat all the kids were able to
(23:23):
choose what they're investinginto, have a say in that, and
then at the end of the dealthey're now going to be
producing about $50,000 a monthin monthly income passively just
from sitting there.
Not only that, but then thesekids have their own children.
So now down the road, who knowswhat the grandchildren will
(23:44):
want to do with their lives,their own children?
So now down the road, who knowswhat the grandchildren will
want to do with their lives?
But they'll have money sittingin accounts that they'll be able
to take advantage of, whetherthey want to go to college or
whether they want to start abusiness, or maybe they want to
buy land and start their ownfarm.
You know, the options areendless for what it can do to a
family 30 years, 50 years, ahundred years down the road.
So for that particular scenarioworked out really well for what
(24:10):
they needed.
But I will also say too, everyclient has different wants and
needs.
Every client has a differentgoal that they're trying to get
to for their end game.
So we try to work with as manydifferent folks as we can.
A lot of times we work with notjust the land agent but we have
(24:32):
qualified intermediaries thatwe work with all the time that
these folks don't even know whatthat person does in the process
.
So we're able to kind of helpexplain that, help match them
with the right people that theycan all trust.
And again, that's the base ofour firm is fiduciary,
transparent advice.
We want what's best for theclient.
(24:54):
Not only is it our legalobligation to do so, but we just
kind of think that's the rightthing to do.
So we like that mindset andthat's how we approach it.
Koby Rickertsen (25:05):
So we like that mindset and that's how we
approach it.
Yeah, and that's I mean, that'sawesome that you're taking that
attack vantage.
I guess, on the industry, let'sgo back to okay, let's circle
back to the 1031.
Yeah, so the vehicle, the 1031,like I think a lot of people
(25:29):
don't really understand because,like, even in your company,
right, you have the fiduciary1031 company, right, and then
you have Clark Wealth Strategies.
I think I'm going to nail thisby the end, I'm pretty sure.
Heath Bandars (25:41):
You're doing great.
Koby Rickertsen (25:42):
Yeah, I'm confident, I'm confident.
So, clark, wealth Strategies,and then you have the 10.
I'm pretty sure You're doinggreat.
Yeah, I'm confident, I'mconfident.
So, clark, wealth Strategies,and then you have the 10.
Why do we have to have adifferent vehicle that holds the
money?
Because it seems silly topeople, right?
Because we have, 45 days afterwe've, you know, just go through
(26:03):
from the start to the finish ofa 1031 process.
Sure, walk us through that ifyou don't mind.
Heath Bandars (26:12):
Yeah, so I'll clarify one quick thing.
As far as our firm goes, clarkWealth and Fiduciary 1031 is
basically one holistic company.
Think of it that way we're theadvisors that match the clients
to a property, or a replacementproperty is what we call it.
We might get hit up two monthsbefore they're actually listing
(26:34):
that property for sale.
You might already be involved,kobe, you might be the one
contacting us, or the clientmight contact us.
Directly.
From there, we give the clientall their options and they say
oh, you know what?
I kind of like this multifamilyproperty in Tennessee and I
like this storage facility inNorth Carolina.
We kind of start mapping thatout for them as you're getting
(26:56):
ready to list the property.
So we're all working togetherin sync with that.
Then the sale of the propertyhappens.
They now have 45 days toidentify what that replacement
property is going to be.
That's where we really startworking and making sure we get
the paperwork filed.
That paperwork is going to getfiled to the qualified
(27:17):
intermediary.
The QI is going to hold thosefunds of the sale of the
property, because the clientcannot at any time hold those
funds.
Otherwise the government says,nope, that's capital gains.
We got to get our fair share.
So the QI is kind of the bridgebetween the start and the
finish of this transaction andthey really are the ones
(27:41):
facilitating the wholetransaction Once they get all
the paperwork they need filed.
Technically, 180 days is the endof this exchange period and
then from there about another 30to 60 days later.
That's when our investments theclient's investments that we
help match them with can startkicking in and working for that
(28:03):
monthly passive income.
So hopefully that paints a goodpicture of kind of the whole
process from start to finish.
It almost sounds too good to betrue at times because, like I
just mentioned, we have a clientwho's now making $50,000 a
month in passive income and theydidn't even know that existed
before we talked to them.
So these things are out thereto help, you know, our farmers
(28:26):
in the Midwest, our farmers.
We deal with everyone fromCalifornia to New York.
We see it all.
Koby Rickertsen (28:34):
Right, and so, like folks like me I mean we
have a few, you know, colleaguesthat listen to the show.
Know colleagues that listen tothe show, um, folks like me that
the the plan should be right isto bring you on as a partner
and like, sit down with ourclients and say, hey, these are
your options, right, right, likehere's the stuff we can.
(28:58):
You know, like you're afraidthat you're going to get taxed,
or you're you know you don'tknow what to do with your money,
and you know, like there's somany you know, or you're you
know you don't know what to dowith your money and you know,
like there's so many you know,like there's.
You know it's kind of likewinning the lottery.
You farmed your whole life andnow all of a sudden you have a
commodity that's finally worth,something you know, right, what.
What do we do with it?
To kind of make sure we havesomething that that you know,
(29:19):
that's a that we can protect ourwealth until our end.
When's a good point to bringyou on?
Heath Bandars (29:28):
We like to be ahead of the sale, but with that
in mind, we also have a quickturnaround time.
So that's a big advantage tothe client and to land agents is
, it could be day 43 or 44 ofthe process and plans might fall
(29:48):
through.
You guys, give us a call, wecan give you some options that
the client's going to not onlybe satisfied with but still save
the exchange.
So they're not paying capitalgains tax.
We don't love those scenariosbecause it's kind of poop
hitting the fan, if you will.
But we like to be out in frontof it, sit down, take the time.
We're also.
We kind of have a road show.
So we like to get out on the ofit, sit down, take the time.
We're also.
We kind of have a road show.
So we like to get out on theroad, go meet our clients,
(30:09):
whether it's at their kitchentable, whether it's coffee,
perhaps a beer every once in awhile, kobe, you know.
So we like to get out andreally make sure they understand
what it is they're getting into, what they want to get into,
and then from there there's athorough plan in place.
Koby Rickertsen (30:30):
Yeah, no, I that that, realistically, is the
goal, right.
So we can't just be sticky yardsign in, and and even in my
industry you can't just besticky yard sign in and wait for
the neighbor to call anymore.
You have to be the completegambit.
You have to figure out a way tofind.
You know how to create the mostvalue for your clients and you
(30:55):
know that includes findingpeople like you, Heath, to
partner with to.
You know, bring on, and youknow, like we've talked about it
, I've got some clients that youknow we're slow walking them
through some stuff and I thinkone of these days they're going
to sit down with you and find,find out that I think you're the
answer that they're looking for.
(31:16):
It's just, you know, when you'redealing with family farm that's
been in the family for a longtime, I understand it, it's a
lot.
You know it's just a lot.
Farm that's been in the familyfor a long time, I understand it
.
Um, it's a lot.
You know it's just a lot.
It's emotional, it's more thanjust, uh, you know it's more
than just a commercialtransaction or right, right,
it's, it's a big deal.
(31:37):
So you got to understand that.
Hey, bud, um, we're going totake one last break and, uh, if
you got got time, we're going tocome back and spend a little
bit more time with you learningabout January 1031 and what you
guys are up to.
We will be right back.
Carrie Rickertsen (31:54):
Land isn't just dirt.
It's where memories are made,families are raised and
livelihoods are built.
But when it comes time to sellor buy, the weight of the
decision is heavy.
Where do you even start?
Who can you trust to guide you?
(32:16):
For too long, land transactionshave been treated like a simple
exchange Numbers on a paper, asignature on a line.
But it's more than that.
At High Point Land Company, wedon't just list land, we walk it
.
We learn its story and we findthe right buyer who understands
(32:39):
its worth.
You are not just another deal.
You are the steward ofsomething bigger and we're here
to help you navigate every stepof the way when it's time to
sell, when it's time to buy.
(33:00):
We're here Because land is morethan just land.
It's your legacy.
Koby Rickertsen (33:25):
All right, we are back here with Heath Banders
from fiduciary 1031.
That is a partnership or thesame company or something.
I don't know.
That's the only thing I haven'tquite figured out here.
Heath is, but it is with Clarkwealth strategies.
That's David Clark's company,um, and so I think I got most of
(33:46):
that right in the third segmenthere, how'd.
Heath Bandars (33:50):
I do you passed.
Koby Rickertsen (33:52):
I passed.
I'm going to get like an 82 atleast.
Yeah, we're solid D plus,Alright, so you know, it's the
American Land Seller podcast, soI would be remiss if I did not
turn this all around and make itall about me in the end.
So, heath, let's talk about howyou can help land sellers like
(34:15):
myself benefit our clients.
How do we best use you and yourtools and team?
Heath Bandars (34:25):
Yeah, well, for one, we're always here as a
resource.
So never hesitate to give us acall if you have a client that
doesn't know what they're goingto do, especially if they're
stuck on the sideline with hey,I have $2 million worth of land.
I know it's worth $2 million,but I don't know what my next
move is.
(34:45):
Well, a lot of land agents callus and say can you please,
please, talk to our client andgive them some of your options
so that we can move forward withthem.
We're happy to help on thatfront.
Also, sometimes we get callsfrom you guys.
Someone just did a deal and theyhave a little bit of leftover
taxable boot.
Maybe it's $50,000, maybe it's$100,000, but they still don't
(35:10):
want to pay taxes on it.
We can help them invest thattoo so that they avoid that
taxable boot.
And then the other big thing isour quick turnaround.
We can really, like I said, ifpoop hits the fan day 44, your
client doesn't know what they'regoing to do, but they have a
million bucks that might gettaxed.
Give us a call and we can helpand we're happy to.
(35:32):
So those are the three keytakeaways.
I would say we can help landagents, but really again on that
education front.
I do the CE courses.
I do 15 minutes on a teammeeting.
I do an hour on a team meeting.
That's not the CE courses.
I do 15 minutes on a teammeeting.
I do an hour on a team meeting.
That's not the CE course.
And I just want to help informpeople about 1031s, what their
(35:53):
clients could potentially investinto, and see if we can help
some folks out.
Koby Rickertsen (36:00):
Yeah, I think that's kind of the thing that
when we were sharing our bowl ofamazingness down in Arizona at
that restaurant, I think that'sthe one thing that I really took
away from meeting with you andyour team.
There was just how you guys havethis big heart to help people.
You can always tell when you'retalking to people there's
(36:23):
people that, there's people thatyou can just you just know that
they're like all they are aboutis like walking away with a
check, you know, and then yougot the people that the check is
like the by-product of just thethe process.
You know the other guys thatwere there, uh, that we, um,
(36:44):
that we were dealing with somepeople that that genuinely just
loved what they did, loved theprocess and and really were
there for the joy of of, uh,matching people with the right
with the right project and so,uh, so I did, did appreciate
that, um, when we were hangingout, um, what's like a minimum?
(37:05):
Like I mean, I've got aproperty right now we're getting
you know, like we got on themarket $320,000, 80, a little
pasture out here we're trying tosell.
Is that something that's goingto be?
You know, my clients would bequalifying with you or is that
just too low?
Heath Bandars (37:24):
Absolutely no, these DST sponsors.
They like to work with numberslike 100,000 or 200,000.
We have a relationship that'sstrong enough with those guys
now where, if we come to themand say, hey, we have a farmer
out in Western Nebraska who heonly has 50,000 of leftover
taxable boot but wants to investit into your property, they're
(37:48):
not even going to think twice.
They're going to say, yep, weknow your guys' process, we know
how it works, we're happy tohelp and, uh, we can.
We can make that work for sure.
Koby Rickertsen (37:57):
So that's really cool.
Okay, so we got 50,000 in howlong we locked into it, for you
know like is there?
I mean everybody knows it rains, tornado, whatever storm
happens.
How do I get my money out?
You know what's?
What's that process look like?
Heath Bandars (38:16):
Well, since we just had two tornadoes left and
right of Omaha, I'll kind ofstart there.
So there are insurances inplace to protect a client.
I won't get into the nittygritty, but there are some
safety vows there.
And then on top of that we callthem cycles.
Traditionally these DSTs have a10-year cycle, but year four it
(38:41):
could end up coming full cycleand they could say, yep, we
achieved what we needed to andwe're going to cash out now.
At that time the client canchoose to do another exchange or
they can say, yep, I'm happy, Igot what I needed and we're
good.
So we typically see anywherefrom five to seven, four to six
years for these cycles, four tosix years for these cycles.
(39:08):
But again, if you're someonethat has multiple eggs in
different baskets, you mighthave a DST come full cycle after
year three or four, and thenanother property of yours that
you invested in might be yearsix, Another one might be year
eight.
So really it depends on theproperty type, the sponsor,
whoever you're investing with.
There's a lot of factors thatcan play into it.
But expect that going into it,there are some ways you can get
(39:34):
out of it.
If you needed to have thatliquid cash.
It's a little bit challengingbut we can work with things with
the sponsor to help facilitatethat as well as far as them
getting cash needed for whatevermight be thrown at you in life.
So, yeah, there's a lot ofdifferent scenarios, but again,
we have the resources.
(39:54):
We know the QIs, we know thesponsors, land agents that we
can call and say, hey, what doyou think about this?
We're also not trying to be thesmartest people in the room,
because I know for sure I'm notthe smartest people in the room,
because I know for sure I'm notthe smartest person in the room
.
So if we don't know something,we always know someone who does
and we're one call away fromfrom those contexts.
So it's important to us as well.
Koby Rickertsen (40:17):
Yeah, that's one of the things I like to say
is that's the smartest thing Iknow is that I'm not the
smartest one, so I know mostpeople.
Heath Bandars (40:24):
Does that make you the smartest?
Koby Rickertsen (40:25):
in the room, knowing that I think there's
math, that I could probably finda smart person that could, you
know, make me math it out for meto be that.
I think there's a way.
Yeah, all right.
So we've talked about DSTs,things like that.
You've also like oil, gas, someof this other fun stuff.
(40:47):
You know, we've got some timeleft.
Let's go crazy.
Let's talk about some other funstuff you guys are playing with
.
Heath Bandars (40:54):
Yeah, you know oil and gas you mentioned those
are mineral rights.
Depending on the time of theyear, you might be getting some
really great cash on cashreturns and other times you
might not get any.
And that's part of investing inthat strategy.
We have a lot of folks that usethat as part of that
diversification factor.
(41:14):
So, especially someone thatsells a million dollar, two
million dollar farm, they mightsay, hey, I want two hundred
thousand in that.
A couple other things areupreets.
Uh, we've seen that lately wehad a client who called and said
hey, I want to do an uprete,which those cycles usually last
upwards of 20, 25 yearssometimes.
(41:34):
And you're kind of locked in Uh, once you do that, you can not
have another, another exchangeperformed afterwards.
Do that, you cannot haveanother exchange performed
afterwards.
But again, when it comes tosuccession planning and things
like that, this particularclient wanted his son to have a
college fund sitting and waitingfor him in a trust when all
things were said and done.
(41:55):
So there's a ton of strategiesyou can get into the weeds on.
I would suggest anyone that'sout there that's interested in
those things you just got togive us a call.
Don't be afraid to ask.
Don't be afraid to talk aboutit with your clients.
The scariest question to ask iswhat are your plans after you
sell the farm?
And most of the time they'regoing to respond and say well,
(42:17):
that's none of your damnbusiness, right?
Well, we want it to not be ourbusiness, but we want to help
make sure you know what you'regetting into.
Koby Rickertsen (42:26):
So yeah, Well and again, like that's.
You're right, you're right.
That's.
A lot of what I get is is, youknow, like what's.
But I think the best questionto ask more so is is like what's
holding you back on this?
You know, and a lot of timesthat's what it is.
Sure, I don't want to give ableepity, bleeping government my
money you know and so and sothat's where you can kind of oh
(42:50):
well, there's solutions for that.
So, most definitely, what'skind of the craziest project
you've seen that you guys havebeen able to have some fun
investing in.
That's some local.
Omaha stuff, haven't you Like?
We're from Nebraska.
Heath Bandars (43:06):
So yeah, there's been a podcast from Nebraska.
Koby Rickertsen (43:09):
That's rare anymore.
Heath Bandars (43:11):
The crazy stuff that happens to us, kobe, is
when we're sitting at the tableand there's three siblings,
which any farm sale knows thatthere's always some family
conflict involved and we try tomediate it as best as we can,
but when one sibling wants to doone thing, the other two want
to go a different route.
That can be a really tough,scary situation.
(43:34):
At times you may not end upselling the farm, which, at the
end of the day, if that's whatthey decide to do, that that's
perfectly within their rights,right, and you want them to all
be happy at the end of it.
We've seen all kinds ofscenarios 24 people involved in
a sale of a golf course, thatyou know how are we going to
(43:56):
divvy this up and get so farinto the weeds of things.
But yeah, we've seen it all.
We hope that it can be assimplified and as easy for
everyone involved and we alsohope that everyone walks away
getting what they want out of it.
More importantly, too, ninetimes out of 10, we want you
(44:17):
guys, as land agents, to be ableto be on both sides the sale of
the property and the buy, asland agents, to be able to be on
both sides the sale of theproperty and the buy, whatever
they're going to buy next.
We just want to be the one timethat someone is saying, hey,
I'm done, I'm ready to be done,ready to be out, I'm selling the
farm.
That's where we can come in andkind of make that impact.
So yeah, to your point.
(44:38):
It can be crazy at the kitchentable with those conversations,
but we do our best.
Koby Rickertsen (44:45):
Yeah Well, and, like I said, I go back to this.
We've talked about thatnumerous times.
It comes back to creating valueand that's, realistically, I
think you know, like lookingacross where the world is going,
especially in the world of realestate.
We just went a month or so agoto Arizona to the National Land
(45:10):
Conference and those guys in RLI, the Realtors Land Institute,
and that hang out at theNational Land Conference that is
where the future of the land,real estate is.
And the guys that we deal withthat want to.
Just, you know they, they don'twant to share, they don't want
to cooperate, they don't want towork together.
They, you know this is the waywe've always done it.
(45:31):
You know, I think that that's,that's a scary future for them.
I just don't know how thatworks.
Going forward, again, I may bewrong, but I just there's so
many different things out thereto help people transition to a
better place that's safer forthem.
And again, you know, this isjust one of those tools that you
(45:55):
guys have that to me, is just,it's phenomenal for our clients
to at least take a look at yeah,yeah.
Heath Bandars (46:03):
I think our biggest thing too, at the end of
it, is trust.
Uh, you want to be able to havelunch or a beer with the people
you're working with and know,after all is said and done, they
also have their, that they haveyour best interests in mind, so
, um, that's why we try to be astransparent as possible when it
(46:23):
comes to helping these guys.
Koby Rickertsen (46:25):
Well, and like people that have worked with me
before know that I am like the,I'm so fun and loving and have,
I am the greatest guy to workwith or I'm the biggest
nightmare, like married, likedon't if you don't take care of
(46:46):
my folks, right?
Yeah, exactly, there's a sybilto to me too, and I kind of you
know I've had people that, uh,you know they're like, why are
you so mad?
And I'm like you know, like Ithought you know, because, yeah,
I referred you, ma'am, look atyou this is my neck on the line.
Now we have got to take care ofour people.
You know we got to take care ofour client.
That's our job.
So, yeah, no, it's been fungetting to know you guys.
(47:08):
I'm looking forward to thedeals in the future and helping
our clients.
How do we get a hold of you,heath, if somebody is looking
for you other than just reachout to me, and I'll make sure
that if they get a hold of meI'll get you in touch with you
and we'll put your contactinformation in the show notes,
if that's all right with you.
Heath Bandars (47:29):
Yeah, absolutely.
We do have a websitefiduciary1031.com.
We're also on LinkedIn,facebook.
I also am starting an Instagrampage, the fiduciary1031guy.
It's going to be a lot ofeducational pieces on there.
I'm not going to bombard peoplewith weird content, it's just
going to be more quick hittersto remind you that, hey, we
(47:52):
exist, we can help clients inthis scenario, that scenario.
And then we're always a phonecall away or a text away.
I mean, it could be Saturdaynight at five o'clock again, not
ideal, but day 44 and clientsplans fell through and we're
happy to take that call.
So Yep.
Koby Rickertsen (48:10):
I know you are and yeah, you got to do
something, that Instagram thing,you got to do something with
that fancy studio until five.
Heath Bandars (48:16):
I know right, it's good use.
Koby Rickertsen (48:17):
So, yeah, somebody's got to got to call.
That is really cool, though Igot to.
You know my office, I mean,that's what mine's been forever,
but now that I have my owntheme music, keith, I yeah, I'm
pretty sure.
I'm pretty sure I need to startworking on my own studio.
Heath Bandars (48:35):
I'm thinking well , you got the Husker sign.
That's the most important thing.
Koby Rickertsen (48:38):
No, huskers.
Heath Bandars (48:39):
Yeah, go Big Red.
Koby Rickertsen (48:40):
For sure no, but anyway, well, sir, I
appreciate so much that you tookthe time to do this and look
forward to catching up with youin the near future.
Heath Bandars (48:52):
Thanks, kobe, appreciate it.
Koby Rickertsen (48:54):
Thank you and we will see you all down the
road as we wrap up anotherepisode of the American Land
Seller.
Announcer (48:57):
Podcast as we wrap up another episode of the American
Land Seller Podcast.
Thank you for joining us.
Visit wwwamericanlandsellercomand find us on one of your
favorite podcast platforms.
If you would be so kind and youenjoyed today's insights,
please like, subscribe, rate,follow and review us on whatever
app you are listening orwatching on.
(49:19):
Connect with us on social mediafor updates Until next week.
Kobe wishes you success in yourland endeavors.
God bless you and have a greatweek.
Koby Rickertsen (49:29):
The American Land Seller is brought to you in
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