1031 exchanges can be beneficial to investment property owners for a variety of reasons. In this article, we are going to talk specifically about how 1031 exchanges can benefit landlords.
Exchange Into a Less Management Intensive Property
Being a landlord is a lot of work - from dealing with repairs, to finding and managing renters, and more.
If you’re getting on in years or you’re simply not interested in shouldering the responsibilities of being a landlord any longer, a 1031 exchange may be your golden ticket. Because you can exchange into and out of different real estate markets, a like-kind exchange allows you to exchange out of your current rental property and into a less management intensive replacement property.
Defer Your Capital Gains Taxes
Of course, the biggest incentive to conduct a 1031 exchange is to defer your capital gains taxes when selling your property. Selling a rental property in a straight forward sale can result in a heft capital gains tax burden. Why not defer those capital gains taxes and move your money into a continuing investment replacement property?
1031 Exchange Services in Minneapolis, MN
At CPEC1031, we facilitate 1031 exchanges of real estate for investors big and small. If you’re thinking of selling a piece of investment real estate but you don’t want to pay the required capital gains taxes, then a 1031 exchange may be a great option for you! Our 1031 intermediaries can walk you through the entire process and ensure that you feel comfortable and informed the entire way. Contact us today to learn more and to see if your property qualifies for 1031 exchange treatment.
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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