1031 Tax

Real estate investors who are seeking to rid themselves of management responsibilities while still maintaining cash flow can often take advantage of the tax deferment provisions of Internal Revenue Code Section 1031 to exchange one type of property for another. For example, an investor that owns apartment buildings may want to switch to property types that require less hands-on management, such as triple net lease properties or tenant-in-common arrangements.

The tax benefits of 1031 exchanges can also be used to build net worth. The money that would otherwise be used to pay capital gains and depreciation recapture taxes can be re-invested through a 1031 exchange in more valuable property. Although 1031 exchanges are obviously beneficial from a tax standpoint for investors who want to stay in the real estate market, the time constraints involved comprise the most significant hurdle for investors.

TM 1031 Exchange alleviates this problem by providing listings of replacement properties that investors can view online. We also provide a checklist and other information in our free 1031 Tool Kit on different aspects of the exchange process. Investors should note that although our tools provide general information, they should also consult with their own tax advisors regarding their specific situations. Investors will also need to engage the services of a Qualified Intermediary to handle the exchange funds.

The senior staff at TM 1031 Exchange has many years of experience with high level real estate transactions. We have the expertise to help you find not just any replacement property, but property that fits your unique circumstances and goals. To learn more about TM 1031 Exchange services, please call 1-877-4TM-1031 or send us an email here info@tm1031exchange.com.