It is possible to convert property from one type to another without tax consequences. Your primary residence can become your rental/investment property and your investment/rental property can become your primary residence.
Tag Archives | Like Kind
The $600K Mistake. Don’t let this happen to you.
I took a call from a taxpayer yesterday. She wanted to ask some questions about a Section 1031 exchange. Her accountant told her to get in touch with us. Great, that’s what we do. She informed me that she and her husband purchased some land many years ago in what was then “way out of […]
Does Your Situation Qualify?
There seems to be a lot of confusion from clients and professionals alike on the qualification criteria for Section 1031. Over the years we have answered many very basic questions and have put together this quick qualification tool. We call it “The Wheel”, click on the graphic below to see if YOUR situation makes sense […]
Section 1031 Strategies for Conserving Open Space
State by state, individual efforts have been made to control sprawl but it has been a slow and arduous task and the controls have not been nearly as effective as a regional or national approach. Several national initiatives have bubbled to the surface to foster conservation efforts. Since 2004, the Departments of Defense, Interior, Agriculture, […]
What is Like-kind Property?
Myth Busted: “Like-kind” means ANY realproperty can be Exchanged for ANY real property. Don’t get caught with the assumption that land can’t be exchanged for an apartment building. When applied to a Tax Deferred Exchange, the term “Like-Kind” is a term of art that simultaneously means four things: Location, Type, Use and Value. Location of Property: For […]
Cash: The “Fatal Attraction”
Real estate is a solid, practical, easy to understand investment vehicle. It is readily available in a variety of forms all across the United States. It can be acquired with cash, debt or exchanged for existing property holdings. Section 1031 Exchanges of real estate are the best way to maximize your cash flow and equity […]