Seller Options
Defer Taxes Through a 1031 Exchange
As an investor in real estate, you understand how important it is to preserve your wealth and assets. If your investment property has appreciated in value, or you have depreciated the property, a sale would require the payment of tax on the capital gain up to 30% or more (combined federal and state). However, if you exchange your property utilizing the benefits of IRC Section 1031, you can defer the tax on the gain, allowing reinvestment of all of your equity.
Basic Exchange Rules
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The purchase price of the replacement property must be equal to or greater than the net sale price of the relinquished property; and
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All cash or other proceeds received from the sale of the relinquished property must be used to acquire the replacement property
Exchange Timelines
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The replacement property or properties must be identified within 45 days of close of escrow of the relinquished property
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The exchanger has up to 180 days from the close of escrow of the relinquished property to acquire the replacement property
Reduce Management Headaches with Triple Net Leased Properties
Now you can acquire investment grade net-lease property through a 1031 Exchange. Some of the advantages of owning a NNN investment are:
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Dependable monthly income from high quality national tenants such as Walgreen’s, Starbucks, Home Depot, Wal-Mart and Burger King
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NNN leases are normally 100% management free
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Defer capital gains taxes through a 1031 Tax Deferred Exchange
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Excellent location of properties. Usually located in prime retail areas with high traffic counts and great demographics
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Lease terms range from 10 – 25 years or more
Manage Your Mailbox Rather Than Your Property
TIC or Tenant In Common investments provide simplicity by eliminating active management headaches. TIC ownership allows you the ability to diversify your 1031 Exchange into more than one property, and to own fractionalized interest of larger, institutional quality properties.
