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Are 721 exchanges the 1031 of 2024?   This question was recently explored in a Commercial Property Executive op-ed from Jonathan Hipp, of global real estate services group Avison Young. As Hipp highlights, while a 1031 exchange is an effective tool for deferring taxes, it still leaves investors vulnerable to market fluctuations, such as rising interest rates, costly transactions and the challenge of securing financing. Plus, there's the ongoing responsibility of managing and maintaining the new property.   In contrast, a 721 exchange—where properties are swapped for units in a partnership, such as Flock’s fund—offers several advantages that could be more appealing than the 1031, especially for larger property portfolios. Hipp argues that the 721 exchange is simpler, quicker and more flexible than its 1031 counterpart, providing enhanced liquidity and diversification. Plus, it eliminates the hassles of property management while offering a passive income stream.   Read the full article here: https://lnkd.in/dpjYVEX7 In 2024, Flock has empowered 50+ landlords with the 721 exchange. To learn more, visit us at www.flockhomes.com.   #realestate #realestateinvesting #propertymanagement #landlord #rentalproperty #financialplanning #investmentstrategies #721exchange

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