There are many different motivations for doing a 1031 exchange of real estate. One motivation that we often see in the Minneapolis area is what we call “grumpy goats.” These are people who are fed up with various things (high tax rates, insurance, local regulations and restrictions, tenants, etc.) and want to try out owning real estate in a different area. So they sell their relinquished property but they don’t want to get slapped with the taxes so they do a 1031 exchange.
The first thing that you have to do in this situation is talk to a qualified intermediary. If you sell your property and leave the closing table with your proceeds in hand, you’ve got the recognition of gain and cannot do a 1031 exchange. It’s important to engage with a qualified intermediary before you start the process.
Exchange Your Investment Property in a 1031 Transaction
Exchange your qualifying investment property in a 1031 transaction and realize the tax-saving benefits of the like-kind exchange. Reach out to the tax-deferral professionals at CPEC1031, LLC today to learn more about the 1031 exchange process. Our qualified intermediaries have over twenty years of experience working on exchanges of all types in Minnesota and across the United States. We can help guide you through the process of your 1031 exchange and make sure you leave no stone unturned. Find us at our downtown Minneapolis offices, where are ready and waiting to help you through the details of your 1031 exchange.
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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