Admin

Top Ten 1031 Exchange Misconceptions

By
Real Estate Agent with Kathleen Barnato, Your Santa Barbara & Montecito Connection

Here are the Top Ten 1031 Exchange Misconceptions

 

Thank you First American Exchange for the information!

 

1.  Like-kind means I must exchange the same type of property, such as apartment building for apartment building.

All real property is like-kind to other real property, but personal property like-kind requirements do have some restrictions. Real property and personal property are not like-kind to one another.  To read more about like-kind real estate, click here.

2.  My attorney can handle this for me.

Not if your attorney has provided you any non-exchange related legal services within the two-year period prior to the exchange. Click here to read more about qualified and disqualified parties.

3.  I must literally “swap” my property with another investor.

No. A 1031 exchange allows you to sell your relinquished property and purchase replacement property from a third party. Watch a short video on the basic process of a 1031 exchange.

Click here  to read the balance of my post.  

  

http://allthingssantabarbara.com/?p=8225&preview=true

Posted by