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Wednesday, February 8, 2023

A 1031 exchange is a tax-deferred way to invest in real estate | Business Insider

Must Read

Under Section 1031 of the US Internal Revenue Code, you may defer capital gains taxes when selling a property if you intend to use the proceeds towards a similar investment within a specific time frame. A seller must identify the intended replacement property within 45 days of the original sale and they have an additional 135 days to complete the purchase of the replacement. In typical real estate transactions, investors can expect to pay as much as 40% of their gain in taxes.

Source: https://www.businessinsider.com/1031-exchange

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