1031 Exchange? Consider A 1031 Alternative
Jeff Faine
I Provide Our Clients Solutions That Delivers Three Efficiencies: (1) They Retain More Value Through Financed Tax Solutions, (2) They Enjoy More Retirement Income, and (3) They Preserve More Wealth.
Real estate investors often rely on 1031 exchange rules to avoid capital gains taxes, but did you know there's an alternative? If you don’t want to put the proceeds into another property and defer the tax, consider the 1031 Exchange Alternative.
This alternative utilizes leverage to pay the capital gains tax, so you retain the full value of the transaction. Rather than tying the funds up in another property, a seller can keep all the funds working on their behalf.
As a seller, you might be thinking, "Why take out a loan when I have the funds available now from the proceeds?"?
The answer is simple: the interest earned on that much larger lump sum offsets the loan's expense. The difference between these compounds over time, and the result is more significant earnings.
This alternative is part of an overall “enhanced tax advantage” or ETA solution we offer here at EFS Life. By partnering with a lender, the ETA solution offers clients an option to have the taxes paid in a much more cost efficient way, enabling them to grow their proceeds without reinvesting into a new property.
Should a 1031 exchange not be suitable for your specific needs, an alternative solution may be available. To further explore this option, we invite you to connect with us for a personalized proposal.?
It’s worth noting that this tax efficiency is not limited to real estate transactions. We enable our clients to utilize this opportunity for retirement distribution taxes, higher education costs, and many other “lump sum” tax burdens, even ordinary income taxes.
Our team is readily available to answer any questions you may have. You can reach us as [email protected] or by phone at 773-318-9608.?