Prestige1031’s Post

If you’re about to sell an investment property, consider utilizing the 1031 exchange. For nearly a century, savvy investors have been using the 1031 scheme to build wealth in real estate. ❓ 𝗪𝗵𝗮𝘁 𝗶𝘀 𝘁𝗵𝗲 𝟭𝟬𝟯𝟭 𝗲𝘅𝗰𝗵𝗮𝗻𝗴𝗲? Section 1031 of the U.S. Internal Revenue Code, allows investors to defer capital gains taxes on the sale of a property by reinvesting the proceeds into a like-kind property. Here is a simplified version of the process: 1. Identify the replacement property within 45 days of selling the original property. 2. Complete the purchase of the replacement property within 180 days. 3. Ensure both properties qualify as like-kind under IRS guidelines. ✅ 𝗕𝗲𝗻𝗲𝗳𝗶𝘁𝘀 𝗼𝗳 𝟭𝟬𝟯𝟭 𝗲𝘅𝗰𝗵𝗮𝗻𝗴𝗲 - Defers capital gains taxes, allowing more capital to be reinvested. - Reinvest the full sale proceeds and increase your buying power.  - Exchange properties to diversify or consolidate your investment portfolio. - Swap underperforming properties for ones that have higher potential. When used correctly, the 1031 is a potent wealth-building tool. Wondering if 1031 exchange is the right tool for your upcoming sale? Our team at Riaz Capital can help! DM me ‘1031’ and we can discuss your options. #1031exchange #taxdeferral #realestate #multifamily

10 Reasons to Exchange and Never Pay Capital Gain Taxes Again. Reason 5. Asset Diversification 1031 exchanges allow a real estate investors to have many opportunities for diversification. One option is to diversify out of one real estate asset class and into another. For example, a 1031 investor can exchange out of bare land that produces no income into a fourplex that provides both cash flow and depreciation benefits. Alternatively, a 1031 exchange investor could exchange out of a multi-family property into a commercial office, industrial, or retail property as a replacement. The ability to transition between different asset classes is beneficial over a longer time horizon. Many investors may opt to exchange into more passive investments like tenant-in-common (TIC), Delaware Statutory Trusts (DST), or NNN property as their investment strategy evolves, and the need for maximizing appreciation transitions into a preference for passive cash flow and reduced management responsibilities. Call me today for your FREE consultation (704) 890-3629 Asset Preservation, Inc. #1031exchange #education #wealthbuilding #buildyournetworth #realestateinvesting #investmentproperty

Let's talk about tenancy in common (TIC) structure and how it relates to our 1031 exchange investors. When we have a 1031 exchange, the investor becomes a co-owner of the real estate deal through the tenancy in common structure. I understand that this setup can sometimes cause confusion during tax season because 1031 exchange investors aren't technically considered partners in the Limited Partnership (LP) or Limited Liability Company (LLC) associated with the investment, meaning they don't receive a K-1 form. However, we provide a full year-end financial package that outlines all income, expenses, losses, basis, and depreciation for the tenancy in common of the real estate deal. It is then up to the investor to work with their CPA to properly report this information on their taxes. if you are interested in learning more about doing a 1031 exchange with us at Lone Star Capital, please reach out directly so we can share more information. I also cover TIC structure and 1031 exchange in my book, Structuring And Raising Debt & Equity For Real Estate, click the link in the comments to grab a copy. #realestateinvesting #lonestarcapital

It's time to clock in! Operating and managing a commercial real estate fund has been so rewarding in my career thus far. I get to bring opportunities and add value to our assets and investors. Most people are scared of investing in the commercial space but here's six reasons why you should: 1) Stable Income: Commercial real estate can provide a steady stream of rental income, often with long-term leases. 2) Appreciation: Over time, well-located commercial properties can increase in value, providing capital gains. 3) Diversification: Investing in commercial real estate can help diversify your investment portfolio, reducing risk. 4) Tax Benefits: There are various tax advantages associated with owning commercial real estate, such as depreciation deductions. 5) Control: As an owner, you have more control over your investment compared to other asset classes like stocks or bonds. 6) Tangible Asset: Commercial real estate is a tangible asset that can be physically inspected and appreciated. ARE YOU NOW CONSIDERING INVESTING IN COMMERCIAL REAL ESTATE? Let's talk more about how you can benefit #blackgirlsbuyapartments #cre #commercial #realestate #congratulations #testimony #blackinrealestate #womeninbusiness #apartments #assets #community #appreciation #taxbenefits #control #ownership #longterm #income #passiveincome #affordablehousing #wealth #financialfreedom #investments

For real estate investors, one of the most powerful tools at their disposal is the 1031 exchange. If you’re not familiar with it, a 1031 exchange allows you to defer taxes on the gains from the sale of a property, as long as those gains are reinvested into another property of equal or greater value. This gives you a unique opportunity to keep your profits working for you, continuously rolling them over into new deals, all while avoiding the tax burden that typically comes with selling property. This is why investing in quality real estate stands out—it's a more efficient path to long-term wealth compared to stocks, bonds, and other businesses. To learn more about doing a 1031 exchange with us at Lone Star Capital, you can reach out to me directly or through the link in the comments. #1031exchange #taxefficient #investmentstrategy

Looking to share about an investment/tax strategy many people know about but few ever put into practice. Currently working on a 1031 exchange after selling a great property we have owned for years. This move will allow us to reinvest all proceeds from the sale into a like-kind property, deferring capital gains taxes and thus increasing our investment potential. For us it’s a win-win—new buyers enjoy a solid property we have cared for and maintained for years while we gain the opportunity to grow our portfolio to a bigger and/or more diversified investment. Shout out to the Exchange Authority, LLC in Worcester for working with us on this. #RealEstate #1031Exchange #WealthBuilding #InvestmentStrategy #NewBeginnings"

For real estate investors, one of the most powerful tools available is the 1031 exchange. #wealthmanagement #financialplanning #ultrahighnetworth https://lnkd.in/g7-YGw46

Attention real estate investors! The landscape is changing, with rising interest rates, increasing property taxes, and complex regulations complicating property management. In Dwight Kay's, latest article, he dives into the significant challenges posed by rent control laws and how they’re impacting landlords today. Many are contemplating 1031 exchanges as a strategy to pivot toward more landlord-friendly markets. Don’t miss out on this essential read that could shape your investment strategy! 👉 Read the full article now: https://lnkd.in/gu9KFdgg #MAREJ #CRE #InvestmentStrategies #RentControl #1031Exchange | Kay Properties & Investments

Housing Announcements in the Budget - of interest to Finance Professionals and SME Housebuilders and Property Investors So as we advised, and as usual, the bark was worse than the bite and the announcements in the budget were considerably more benign than most commentators feared with some wild assumptions on capital gains tax increases and similar not coming to pass. What was announced was mildly positive, other than for tenants, or at least not too negative for housing, but we still await lots more detail as the NPPF is Finalised later this year. In the meantime please see our full take on the impact on the property market in the budget as announced today. https://lnkd.in/e7FS23rr #budget, #housing, #housebuilding