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1031 Tax ExchangesDo you have investment property that you would like to sell or transfer and defer the taxes on your gain? A 1031 exchange makes it possible for investors to sell and buy property of like kind while deferring tax consequences. This transaction is authorized by section 1031 of the IRS code and offers investors a reliable strategy for the protection of their real estate assets. A successful 1031 exchange allows the investor to reinvest 100% of the equity from the sale of a property into the purchase of a preferred replacement property without recognizing any gain. This type of property sale and reinvestment can either be done through a simultaneous or delayed 1031 exchange. A 1031 exchange does not apply to property that is used solely as a personal residence. It is extremely important that this process be done correctly, otherwise, a taxable event may occur. |
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