Deciding whether to sell an investment property or use a 1031 exchange is a significant choice for California investors. Each option carries its own financial benefits, tax implications, and long-term impact. Understanding these differences will help you make an informed decision that supports your financial goals. What Is a 1031 Exchange, and How Does It[…] Read More
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Can You Do a 1031 Exchange on Your Primary Residence in Texas?
Homeowners in Texas often look for ways to unlock the value of their property while minimizing capital gains tax exposure. Section 1031 of the Internal Revenue Code provides a powerful tax-deferral strategy for certain real estate transactions—but it has specific rules and limitations. Understanding these nuances is essential for Texas property owners who want to[…] Read More
How to Find Your Cost Basis in Investment Property and Why It Matters in a 1031 Exchange
When you own an investment property, understanding your cost basis is essential. Basis is the starting point for determining your taxable gain, how much depreciation you can take, and what your tax obligations will be when you sell. It also plays a critical role in tax-deferral strategies like a 1031 exchange, where knowing your adjusted[…] Read More
1031 Exchange for Mixed-Use Properties in Brooklyn and Manhattan
Navigating real estate investment opportunities in Brooklyn and Manhattan requires a strategic approach, especially when it comes to minimizing capital gains taxes. One of the most effective tools at your disposal is the 1031 exchange. If you own a mixed-use property—a building that combines both residential and commercial elements—you may qualify to defer capital gains[…] Read More
Can You Defer Capital Gains Tax with a California 1031 Exchange?
For California real estate investors, selling a property that has appreciated in value often comes with the unwelcome burden of capital gains taxes. Fortunately, the Internal Revenue Code offers a valuable tax-deferral strategy known as a 1031 exchange. This legal tool allows investors to defer paying capital gains tax when they reinvest the proceeds from[…] Read More
1031 Federal Exchange Partners with Bisnow to Spotlight Tax-Deferral Strategies for Real Estate Investors
In a recent article developed in partnership with Bisnow Cincinnati, Steve Wolterman, Esq.—president and owner of 1031 Federal Exchange—discusses how 1031 exchanges can support long-term wealth building while reducing immediate tax liabilities. More real estate investors are turning to 1031 exchanges as a strategic way to grow their portfolios and defer capital gains taxes. Under[…] Read More
Can I 1031 Exchange a Florida Vacation Home? What the IRS Says
Florida’s sunny beaches, popular vacation spots, and attractive real estate market make it an ideal place to own a second home. But what happens when you’re ready to sell your Florida vacation home—can you defer capital gains taxes using a 1031 exchange? According to the Internal Revenue Service (IRS), it depends on how you’ve used[…] Read More
Types of Properties That Qualify for a 1031 Exchange in Texas
A 1031 exchange, named after Section 1031 of the Internal Revenue Code, allows real estate investors to defer capital gains taxes by reinvesting the proceeds from the sale of one investment property into another like-kind property. This powerful tax-deferral strategy can support long-term wealth-building, especially in a diverse and fast-growing real estate market like Texas.[…] Read More
Top Cities in Texas for 1031 Exchange Investments: Dallas, Austin, Houston & Beyond
Investors seeking to defer capital gains taxes through a 1031 exchange often look to Texas as a highly favorable market. With no state income tax, a robust economy, and continued population growth, Texas offers a compelling landscape for real estate reinvestment. From major cities like Dallas and Austin to fast-growing suburbs such as Frisco, several regions[…] Read More
How to Use a 1031 Exchange to Grow Your Real Estate Portfolio
Investing in real estate offers numerous opportunities to build long-term wealth, but doing so effectively often requires careful planning and strategy. One tool that savvy investors use to maximize the growth of their real estate portfolio is the 1031 exchange. Named after Section 1031 of the Internal Revenue Code, this mechanism allows investors to defer[…] Read More