Rising Real Estate Prices are Fueling 1031 Exchange Popularity

A few years ago, when real estate prices took a plunge and many investors took a significant equity hit, section #1031 of the tax code seemed like an unnecessary thing. After all, if you were under water on your investment properties, worrying about capital gains taxes was the last thing on your mind.

But now that prices have rebounded, investors are once again faced with the dilemma of how to handle potentially significant tax obligations in the form of capital gains exposure. These rising prices explain the renewed popularity of 1031 exchanges.

This recent article in Financial Planning magazine, captures the essence of why section 1031 is enjoying its moment in the spotlight once again. Whether you’re a seasoned or casual investor, just starting out with real estate investment property or getting ready to sunset out of the game, section 1031 can be a key element in your financial success.

If you’re considering a 1031 exchange, please visit our website to learn more about the exchange process, our qualified intermediary services and how we can help you find and close on your next 1031 exchange property.