When it comes to buying and selling real estate, timing is everything. Many taxpayers want to know whether it’s a good time for them to sell their property or do a 1031 exchange. In this article, we are going to talk about how to know if it’s a good time for you to do a 1031 exchange.
Consider the Tax Implications
When selling real estate, one of the biggest factors you need to be aware of are the tax implications. Selling a piece of real property will result in a potentially large capital gains tax bill. Are you prepared to shoulder the weight of such a tax bill? If not, an outright sale may not be your best option. Instead, a 1031 exchange can help you defer those taxes.
Think About Your Long-Term Plan
You also need to think long-term when it comes to real estate. If you currently own a management-intensive property and you’re getting on in years, you may want to consider exchanging out of that property and into something less management-intensive. That would allow you to earn a more passive investment income during your retirement years. A 1031 exchange can help you accomplish this.
1031 Exchange Service
At CPEC1031, LLC, we work with clients throughout the Twin Cities and beyond to provide excellent 1031 exchange services. Our team of qualified intermediaries has been facilitating exchanges of real estate for taxpayers in all industries for more than two decades. Let us help you through the ins and outs of your exchange. Our main offices are located in downtown Minneapolis, but we facilitate exchanges throughout the United States. Contact us today to learn more about the services we offer and get your exchange up and running today!
Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.
Defer the tax. Maximize your gain.
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