1031 Exchange Explained

1031 Exchange Explained

Internal Revenue Code provides that no gain or loss will be recognized on the exchange of any type of business use or investment investment property for any other business use or investment investment property. This means that a 1031 exchange is a rollover of equity of like investment properties, rather than an avoidance of tax and allows for the transaction to take place with full tax benefits attached. The theory behind internal revenue code is to allow the property owner to reinvest the sale proceeds into another investment property, foregoing any economic gains that may have been realized from the sale. If you have recently sold, or are thinking of selling investment investment property, we can assist in matching you with a qualified 1031 expert. A 1031 expert can help you explore your 1031 exchange options. Contact us today for a free consultation.



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