1031 Exchange Learning Center

A 1031 exchange can be a game-changer for real estate investors, allowing you to defer capital gains taxes and reinvest in higher-value properties. But not every property or investor automatically qualifies. Understanding the eligibility criteria is critical to ensure your exchange is compliant with IRS regulations. In this guide, we break down what you need to know to determine if a 1031 exchange is right for you. 1. Investment or Business Property Only To qualify, both the

1031 exchanges are one of the most effective ways for real estate investors to defer capital gains taxes, but they’re also one of the most misunderstood. Misconceptions about who can use them, which properties qualify, and how taxes are deferred can prevent investors from taking full advantage. In this post, we’ll break down and debunk the top five myths about 1031 exchanges to help you approach your investment strategy with confidence. Myth 1: A 1031 Exchange Eliminates Taxe

A 1031 exchange is a powerful tool for real estate investors looking to defer capital gains taxes while upgrading their investment portfolio. But it’s not as simple as selling one property and buying another. The IRS has strict regulations you must follow to ensure your exchange qualifies for tax deferral. Knowing these rules ahead of time can save you from costly mistakes. 1. Engage a Qualified Intermediary (QI) Before Selling The first rule of any 1031 exchange is to involv

Texas real estate moves fast, but 1031 exchanges follow strict IRS deadlines. Missing a key date can disqualify your transaction and trigger capital gains taxes. Understanding the timeline and planning carefully ensures your exchange is smooth, compliant, and stress-free . Sunwest 1031 helps investors navigate each step with confidence. Step 1 — Sale of Original Property The 1031 exchange timeline begins the day you close on your original investment property. Document this cl

In Florida’s competitive real estate market, the property you want may not stay available for long. A reverse 1031 exchange  allows you to acquire your replacement property first  and sell your current investment property afterward, all while deferring capital gains taxes. This approach can be incredibly useful, but it comes with specific rules, deadlines, and structural requirements. Below, we break down how reverse 1031 exchanges work in Florida, when they make sense, and w

Arizona’s real estate market has been growing rapidly, drawing investors to opportunities ranging from rental properties and vacation rentals to commercial developments. A 1031 exchange  can help investors defer capital gains taxes and reinvest more of their earnings, but the process is highly regulated. One procedural slip can disqualify the exchange and trigger unexpected tax liability. Below are five common mistakes  people make in Arizona 1031 exchanges — and how to avoid

A 1031 exchange allows real estate investors to defer capital gains taxes when selling one investment property and purchasing another of “like-kind.” While the IRS sets the main rules for 1031 exchanges nationwide, real estate markets and state regulations can influence how the exchange process unfolds in different places. If you’re considering a 1031 exchange in Florida or Texas , understanding the similarities and subtle differences can help you make confident, well-timed d