1031 Exchange – Benefits and Requirements

Lisa Taylor28 Feb, 2019Real Estate

Over the years, 1031 exchanges have gained tremendous popularity among real estate investors. The reason is obvious. 1031 exchanges or tax-deferred exchanges let investors defer capital gains taxes on exchanging like-kind properties. From like-kind, we mean properties that are similar in nature. For example, a rental property can only be exchanged for another rental property in a 1031 exchange. But, how a 1031 exchange takes place? Before we get to that, let’s find out the requirements of 1031 exchanges.

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