Avoiding Constructive Receipt in Your 1031 Exchange
Friday, September 01
One area that catches potential exchangers off guard (and can jeopardize the exchange altogether) is the concept of constructive receipt. While actual receipt is easy to identify – the exchanger directly receives the sale proceeds from the relinquished property, constructive receipt is a little m...
Alternatives to a 1031 Exchange
Wednesday, August 30
Nobody has a crystal ball to foresee what, if anything, will happen to 1031 exchanges should tax reform ever actually come out of Washington. But if new legislation does hit the books – and #1031 exchanges are eliminated – what options will be left on the table to avoid or eliminate capital gains...
Minimum Time Requirements for Holding 1031 Exchange Property
Monday, August 28
Despite the IRS’ penchant for deadlines and time rules, one area where Uncle Sam doesn’t provide explicit guidance has to do with how long you must own property before relinquishing it in a #1031 exchange. In a break with their normal obsession with outlining timing rules, the tax code doesn’t pr...
Basic 1031 Exchange Terminology to Know
Saturday, August 26
Before you start your #1031 exchange, there are a few very common terms that you should be familiar with. Understanding these will take the confusion out of your transactions.Boot: This is the fair market value of any non-qualified property you receive during the exchange. It can be cash, loans, ...
What Does the 1031 Qualified Intermediary Do, Anyway?
Friday, August 25
Unless you’re conducting a rare, simultaneous exchange, one person you’ll need to hire to help you with the #1031 exchange process is a qualified intermediary. This is the person or company that keeps you on track throughout the transactions, holds money and titles and fulfills an indispensable r...
Nuts & Bolts of a TIC Investment
Thursday, August 24
If you’re new to the world of real estate investing, perhaps you are not familiar with one niche market – tenancy in common (TIC) ownership. This is where a group of investors pool their resources to purchase investment property, and then share all the benefits and liabilities of it.It is a great...