How to Do A Successful 1031 Exchange
A 1031 Exchange allows property owners to defer their capital gains tax by exchanging their property for “like-kind real estate” (also known as replacement property) with the proceeds from their sale.
A 1031 Exchange allows property owners to defer their capital gains tax by exchanging their property for “like-kind real estate” (also known as replacement property) with the proceeds from their sale.
When it comes to finding the right investments and meeting deadlines to maintain the eligibility of your exchange, it is absolutely crucial to find an advisor that has the drive to get to know you, and provide suitable investment opportunities.
Delaware Statutory Trusts (DSTs) can help you diversify your portfolio, but they can also provide suitable solutions to a host of other challenges you might face in the real estate market, specifically within the parameters of a 1031 exchange.
In the farming industry, a 1031 real estate exchange is a common strategy to allow a farmer “defer” paying the capital gains and/or ordinary income taxes on an investment property when it is sold, as long as the “like-kind property” is purchased with the profit gained by the sale of the first property.
When a taxpayer does a “tax-free exchange” of California real estate for real estate in some other state, California form 3840 is required to be filed each year and when the replacement property is sold.
This investment vehicle can help farmers build wealth. The section 1031 exchange law, enacted in 1921, has been helping farmers and landowners build wealth and keep cash flow in their operation for decades.
A 1031 exchange only applies to investment properties -- or does it? If you sell an investment property, you can get hit with a large tax bill, especially if you sell it for a large profit. However, a 1031 exchange allows you to use the proceeds from that investment property to buy another and defer any tax liability in the process.
The GSE’s midyear outlook finds that the industry is still struggling to build enough multifamily units for a housing-hungry nation, despite elevated construction starts.
If you are looking to capitalize on this evolution by investing in or selling/leasing warehouses as a real estate agent, start by making sure you have a solid understanding of these key factors.
Dollar stores are one of the key reasons the big drug-store chains are frantically trying to build upon their pharmacy and medical services businesses.
There is an estimated 110 million square feet of available medical office space either in existing buildings or those under construction as of the second quarter of this year.
The reverse supply chain is helping to create more demand for retail space in Los Angeles—not that the market has extra to spare.
There are limited listings in today’s real estate market making it difficult to find suitable 1031 exchange replacement properties. DSTs are prearranged replacement properties that can close in as little as three business days.
DSTs offer an intriguing option for investors who are looking for properties to complete their 1031 Exchanges.
There are only a few ways to receive special tax treatment on the sale of real estate. One is IRC Section 121 (“primary residence” exemption), for those who qualify and another is IRC Section 1031 tax deferral on the exchange of investment property that qualifies under Section 1031 and the Treasury Regulation guidelines.