Calculator to Compare 1031 Exchange vs Seller Financing vs MIS

Calculator to Compare 1031 Exchange vs Seller Financing vs MIS

San Diego, CA · Member since 2017 · 105 posts · 55 votes

Hi All,

I'm looking to see if anyone knows of a calculator/modeling tool which can help me compare the benefits of selling a property with these four options:

  1. Sell and pay capital gains/depreciation recapture upfront
  2. Perform 1031 exchange into new property, defer taxes
  3. Sell on Seller Carryback Installment Sale, defer taxes
  4. Sell on Monetized Installment Sale, defer taxes

Surprisingly I couldn't find anything online which was very helpful. Thanks in advance for anything you can provide!

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  • Member since 2018 · 29 posts · 20 votes
    8y

    There is a calculator on my firm's website that compares a cash sale to a monetized installment sale. As far as I know it's the only one of its kind, although I'd be pleased to see any others that someone can point to.

    We have created a spreadsheet calculator that compares an exchange scenario to doing a monetized installment sale instead. That is not on the web site but it you private message me I can share it with you. 

    Between those two calculators you would have answers to your questions 1, 2 and 4. You can back in to the answer for question 3 can be answered with some simple arithmetic.

  • Justin HolleyPro Member
    Investor · Whitefish, MT · Member since 2015 · 62 posts · 18 votes
    10mo
    Quote from @Keith Meyer:

    Hi All,

    I'm looking to see if anyone knows of a calculator/modeling tool which can help me compare the benefits of selling a property with these four options:

    1. Sell and pay capital gains/depreciation recapture upfront
    2. Perform 1031 exchange into new property, defer taxes
    3. Sell on Seller Carryback Installment Sale, defer taxes
    4. Sell on Monetized Installment Sale, defer taxes

    Surprisingly I couldn't find anything online which was very helpful. Thanks in advance for anything you can provide!


     Did you ever find a spreadsheet that does this modeling?  If so, please let me know where to find it.

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