1031 Exchange Explained

1031 Exchange Explained

The internal revenue code or 1031 exchange is an effective tax deferral strategy available to taxpayers. This code allows for a rollover of equity of like income real estate, through a 1031 exchange, to take place without requiring the payment of capital gains taxes on the initial investment. The theory behind internal revenue code is to allow the real estate investor to reinvest the sale proceeds into another income real estate, foregoing any economic gains that may have been realized from the sale. If you have recently sold, or are thinking of selling investment income real estate, we can assist in matching you with a qualified 1031 realtor. A 1031 realtor can help you explore your 1031 exchange options. Contact us today for a free consultation.