Yes, absolutely. 1031 Exchanges are not for everyone and may not be appropriate under certain circumstances. You would generally not want to structure a 1031 Exchange if you have an actual loss on the sale of your real property because you will want to recognize the loss for income tax purposes. Suspended passive activity income tax losses may be used to offset certain gains as well, so you may decide not to structure a 1031 Exchange or to structure a partial 1031 Exchange in order to use up some of your accumulated passive activity income tax losses.
EXETER 1031 EXCHANGE SERVICES, LLC
Steven W. Monk
Vice President and Regional Manager
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