A contract for purchase satisfies the identification requirements.Just remember that, in order to defer all of the tax, you must purchase at least as much as your net sale ( contract price minus closing costs) and use all of the proceeds (any equity received in your 1031 exchange.

The deal just doesn’t have the income to comfortably support that much debt.Your report shows the cash flow after the refi dropping to around $939/mo, and that’s using pretty optimistic assumptions (5% repairs, 5% CapEx, low taxes, low insurance).

Check local rent comps — if you can get a 1% monthly rent-to-value ratio (for example, $2,000/month rent on a $200k home) or at least solid positive cash flow after taxes, insurance, and maintenance, renting might be worth it.

It will open up a list of the Clerk of Court, Tax Assessor, Property Appraiser, etc.

Hey William, what you said about S-Corp being a tax filing status and not an entity formation is spot on; that’s a common point of confusion.

But the conversations are getting louder than the season normally allows.And with delistings sitting near some of the highest levels we’ve seen, there’s a whole segment of sellers who aren’t getting traction and are quietly hoping someone gives them an alternative.

The 7 Material Participation Tests If the 7-day rule is met, you must then satisfy at least one of the seven IRS material participation tests during the tax year.

Hope all of that makes sense. 

I recommend a paid consultation with your tax accountant or financial advisor.

Also, if the SDIRA invests in a property with a mortgage or other debt, you may be subject to Unrelated Business Income Tax, and that tax rate can go as high as 37%.