Named after Section 1031 of the Internal Revenue Code, a 1031 Exchange allows you to defer paying capital gains taxes when you sell an investment property as long as you reinvest the proceeds into another “like-kind” property.

IRS US Code Section 121What is Section 121?

A lot of our older structures here are grandfathered into modern building codes and, in the event of a significant loss, you'd likely benefit from the extra bucket of coverage meant for bring structures in accordance with modern codes. 

I've spoken to quite a few of my accountants CPA's and they often have variations in opinion on how they interpret certain things in the code. 

Two quick moves: pick a simple first play with a tight buy box (rent‑ready SFH or light rehab in one or two zip codes) and walk those blocks with an investor‑friendly agent and a PM to sanity‑check scope, rents, and no‑go streets.Which submarkets are you leaning toward, and do you want to start with a rent‑ready rental or a light rehab you can manage confidently?

STR permits are also attainable outside city limits with Coos County - though the process may take months due to waste and water system inspections.Gold Beach: Generally restrictive - permitted in commercially zoned areas or outside city limits with a Curry County permit.Brookings: Permitted with specific zoning code only - usually on the very west side of town.There are exceptions to every rule and investors should work closely with the city or county planner, their real estate professional, short term rental property manager and title team to ensure that their prospective investment is eligible and familiarize themselves with the licensure process before and during their due diligence period.

In reality, it's actually a good checks and balance approach to understanding inspections and what code compliance really entails. 

As tax professionals, we provide guidance solely on lawful options available under the Internal Revenue Code.

For November 2025, only two ZIP codes met our benchmarks of:• Vacancy rates at 10% or below• RTP (Rent-to-Price) at 15 or belowThese are the top-performing areas this month:28081 — Kannapolis• Vacancy Rate: 9%• RTP: 14.6%• Key Area Highlights: NC Research Campus, Kannapolis Cannon Ballers Ballpark, Village Park, and the revitalized downtown district.28054 — Gastonia• Vacancy Rate: 7%• RTP: 13.8%• Key Area Highlights: Schiele Museum of Natural History, Martha Rivers Park, Catawba Creek Golf Course, and nearby access to Crowders Mountain and downtown Gastonia.These figures signal strong rental demand and stable return potential—ideal conditions for long-term buy-and-hold strategies.

-Once they share a date/time, I share the lockbox code (I have my owner rep/cleaner periodically check on the unit and change the code).