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1031 Exchange or Opportunity Zones?

Comparing the Pros and Cons of Opportunity Zones and 1031 Exchange   After the Trump administration signed into law the Tax Cuts and Jobs Act of 2017, America's real estate community was abuzz over the provision allowing for Qualified Opportunity Zone investments.  In particular, the 1031 exchange community took notice. This is because Opportunity Zones

By |2019-10-15T16:24:42-06:00October 10th, 2019|Current News, Tax Tips|

Like Kind Exchange — Examples of “Boot”

It’s not uncommon to throw around terms like “cash boot” or “mortgage boot” in a 1031 like-kind exchange. But what exactly is “boot”? You won’t find that word in the Internal Revenue Code (IRC). It does not appear in the Treasury Regulations. Here, “boot” means value “given in addition to.” The term is common

By |2019-09-10T23:04:51-06:00August 25th, 2019|1031 Exchanges|

Fed Interest Rate Cut: 7 Takeaways

Moody's Chief Economist: Fed Interest Rate Cut to Boost Real Estate (with Caveat)   The Federal Open Market Committee (FOMC) decided to lower the fed funds interest rate, decreasing by 25 basis points to 2.00%. The committee voted 8-2 in favor of the cut.   Main Takeaways from the Fed Interest Rate Cut: FIRST CUT

By |2019-09-10T23:06:54-06:00August 5th, 2019|Current News|

An Introduction to Tax Basis & 1031 Exchange

  Need a quick refresher on how 1031 exchange affects tax basis in your property? Or maybe you need a reminder about exactly what tax basis means? We'll cover the basics in this post and provide you a few examples. What is Tax Basis? Tax basis is what the IRS uses to keep track of

By |2019-09-10T23:49:55-06:00July 25th, 2019|1031 Basics, Investment Strategies, Tax Tips|

Partnership Strategies in a 1031 Exchange

 - What to do when some partners want to do a 1031 exchange, but others don't -   A frequent call to our company goes like this: “Five of us own an LLC. The LLC, in turn, owns a piece of real estate held for investment. It has a substantial gain in the property and

By |2019-10-11T10:38:52-06:00June 19th, 2019|1031 Basics, Real Estate, Tax Tips|

4 Better Strategies for Owner Carry Financing

Owner Carry Financing in a 1031 Exchange - Installment Sales under IRC Section 453 - Investors often ask us if owner carried financing (installment sales under IRC section 453) and a 1031 exchange (IRC section 1031) work together in the same transaction. While possible, it can be tricky adding owner carry financing to a tax-deferred

By |2019-09-10T23:43:14-06:00June 10th, 2019|Investment Strategies|

How to Replace Debt in a 1031 Exchange

1031 Debt Replacement- You Don't Always Need New Debt   It’s common to read that 1031 exchangers need to “replace their debt” from their relinquished property by taking out new debt on their replacement property. This is sometimes referred to as the “equal or greater debt” rule. However, this isn’t necessarily true. The IRS doesn’t

By |2019-09-10T23:42:00-06:00May 1st, 2019|1031 Basics|

New Opportunities for Boomers

Why you should consider a 1031 Exchange into senior housing The current wave of aging Baby Boomers and the coming wave of aging Gen-Xers will provide a large customer base. Thus, creating a considerable option for a 1031 senior housing investment opportunity.   Like all real estate, location is critical! Some housing markets recently posted record

By |2019-10-11T10:40:53-06:00March 12th, 2019|Investment Strategies|

How to Tell If it is Time to Cash In!

How to decide if it is Time To Cash In Before the 2019 Bubble Bursts Monday, February 04, 2019 Real estate investors try to look ahead. As we start 2019, many are asking, “Is it time to cash in?” Several markets saw a healthy increase in prices over the last several years. If you were

By |2019-03-23T21:13:35-06:00February 6th, 2019|Uncategorized|

A Guide To Understanding Reverse Exchanges

Want to utilize a 1031 exchange but need to close on your replacement property first? You should consider a "reverse" 1031. These transactions are more complicated and challenging than standard exchanges, but  our company has decades of experience helping investors navigate the reverse landscape. How To Do a Reverse 1031 Exchange A brief overview of

By |2019-09-10T23:38:46-06:00February 1st, 2019|Alternative Exchange Types|