A 1031 exchange is a commonly used real estate transaction where you can swap out an investment property for another like-kind property, which helps you avoid paying capital gains tax. Without the 1031 exchange, you normally would have to pay taxes as soon as the sale occurs. However, if you do a 1031 exchange on[…] Read More
Month: July 2022
What Are Exchange Property Identification Rules?
If you are selling an investment property, the proceeds from the sale are subject to capital gains taxes unless you follow the rules of a 1031 exchange. A misunderstanding or mistake in following any of the rules could be costly, as your sale becomes a taxable event with anywhere from 20 to 35 percent of[…] Read More