Despite the roller-coaster ride that is better known as the real estate market, real estate in and of itself remains - even in these volatile times -- a sound and practical investment. The trick -- explains author Brian Kline is his illuminating book "How to Pay Little or No Taxes on Your Real Estate Investments" -- is to know how to make your money work for you in the smartest possible way.

Not necessarily an easy read, but definitely an important resource for both the layman and professional - I give this book high marks not only for the time Kline spends explaining the ever-so-confusing tax code system into a concept as simple as "tax-code knowledge and application = profit" but also for his thorough examination of the multiple methods available for deferring or eliminating taxes to fit the reader's specific needs, goals and objectives.

Furthermore, Kline does a great job of personalizing all the legal and technical jargon with a nice mix of real-world examples. Even going so far as to include several case studies offered up by many of today's real estate big shots who use the principals outlined in this book.

Of particular interest to me was Chapter 9: Wealth Goals and Strategies, in which Kline addresses such topics as Passive vs. Active Income, Risk Limits and Getting Started Strategies. It's true says Kline that with the accumulation of wealth comes experience and knowledge. But how does the novice get to that point? This book will show you how. Kline goes on to note that an experienced investor will recognize a misrepresented property or profits. The experienced investor likely has a feel for business cycles and is better suited to optimize the buy and sell timing. Chapter 9 alone is worth the price of admission. Remember, every individual has a different tolerance for risk. The key is not taking risks that you cannot afford.

Also of particular interest are Kline's explanation, demonstration and practical application of Individual Retirement Accounts (IRA) and how they can be used to acquire and - more importantly -- shield wealth. According to Kline, IRA's can be invested in anything the owner believes will bring a good return on investment. And anything that brings in a good return is a good thing.

Now I freely admit that if you're a novice investor like myself, its easy to get derailed with the never-ending use of acronyms, technical and financial terms. My advice to you: read and re-read. Familiarity breeds confidence and this book of knowledge contains all the secrets you need to translate that first real estate purchase and turn it into the cornerstone of a real estate empire. Donald Trump could pick up a hint or two as well.

Kline points out that "...Historically, real estate outperforms the stock market's" and that "...Real estate investing can be one of the surest and most dependable methods of systematically acquiring wealth." If that is true - and I certainly believe that it is, then Kline's book, "How to Pay Little or No Taxes on Your Real Estate Investments" is certainly a step in the right direction.

I give the book 5 stars.

With the recent housing market slump, Brian Kline offers readers advice on protecting their investments while still turning a profit. He effectively uses existing tax codes to teach readers how to accumulate wealth through real estate investments. His methods and advice on using such strategies, like the 1031 exchange, are conducted within the legal limits of the law.

Many times, the topics discussed quickly become boring with legal jargon an industry talk. While some of this is necessary, Kline does a nice job of mixing in real-life examples. He accompanies these examples with charts and "the math" completed so the reader can easily understand the topic of discussion. Throughout the book, he offers several case studies of industry leaders using several of the topics he discusses. These offer real world application for his advice.

Kline explains how Individual Retirement Accounts (IRA) can be used to acquire and shield wealth. IRA's can be invested in anything the owner believes will bring a good return on investment. Charitable remainder trusts eliminate capital gains and create a charitable tax deduction. He even offers readers a step-by-step, in-depth look at 1031 exchanges, and how they function.

This book was well written, straightforward, and easy for the layperson to understand, as well as someone familiar with the real estate industry. It introduces the reader to real estate terminology and outlines a number of strategies to legitimately increase wealth through real estate. It gives in-depth information on the 1031 exchange, charitable trusts, etc. The author takes excerpts of the tax law to supplement the strategies he outlines, which is helpful and indicates the validity of his suggestions. The case examples give the reader an understanding of how they can make wise choices at various stages of real estate acquisition, ownership, improvement and sales. The author lists conditions necessary to take advantage of the various strategies and plans available, and also includes information on prohibited transactions. He uses tables to illustrate the gains to be made using the strategies, and includes a chapter that takes the reader step-by-step through the process of preparing a wealth strategy. The final chapter is an account of a fictional couple, and their experience in real estate investment, utilizing the strategies provided by the author. I would recommend this to anyone considering an investment in real estate, and also to realtors and other professionals in the industry.