Tiffany's Tip on Real Estate Investing: Investing through the 1031 Exchange When you purchase real property and it is sold- you incur a financial gain. This gain or profit is taxable during the calendar year of the sale. To defer the taxes due on this gain, the IRS offers a break under IRS Code-seection 1031. IRS Section 1031 provides an exception and allows you to postpone paying Continue Reading
Tiffany’s Tip: 1031 Exchange Simple Rules to Follow
1031 exchange rules to follow If you decide to do a 1031 exchange, once the money from the sale of your first property comes through, it will be with an escrow agent—an independent account monitored by a third party. The money will be available once a new property is identified. After the sale of the property you want to use for the 1031 Exchange, the clock starts once you have Continue Reading
