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Updated 4 months ago on .
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1031 into TIC/DST aaaaand into single family home?
If i sell my SFR rental for $450k and equity is, for example, $200k...Can i invest 100k into a new SFR worth $275k and invest the remaining 100k into a sponsored DST or TIC (which deals are usually multiple hundreds of thousands of dollars?
hope i am making sense.
thanks all.
Most Popular Reply

That's correct. You can acquire that debt across the direct property and / or the DST/TIC.
The 1031 exchange rule to defer your tax is two part 1) reinvest all your proceeds and 2) purchase a property (or properties / DSTs/TICs) with an equal or greater market value.
Thus the need for replacing the debt. You could also add cash to your exchange account to reduce the debt replacement if you wanted.