1031 Exchanges are a valuable tool used by many Sellers to defer taxes on a sale.
Typically, capital gains taxes are due upon the sale of a real estate asset. An IRS code known as the 1031 exists that allows Sellers to sell a property, purchase a replacement property within some specific parameters, and defer the taxes. Many sellers have used the 1031 to trade up to a higher priced property without incuring a tax burden on the gain on the original property. Other property owners have used the 1031 as a means to sell an asset that produces minimal income, like land, and use the proceeds to purchase a property that produces significant income, like an office building.
Contact me today and let's discuss how a 1031 Exchange might be right for you.