A traditional forward 1031 exchange is when you sell investment property (relinquished property) and roll all, or part, of the sale proceeds into the purchase of a new investment property (replacement property).
The Forward 1031 Exchange is a great way to invest in new property without having to pay any capital gains tax on the sale of your old property. This is an excellent way to continue to grow your investment portfolio without being taxed on your profits. With a traditional forward 1031 exchange, you sell your investment property and then roll the proceeds into the purchase of a new investment property. This allows you to defer paying any capital gains tax on the sale of your old property while still investing in new property.
There are a few things to keep in mind when doing a forward 1031 exchange. First, you must identify the replacement property within 45 days of the sale of the relinquished property. Second, you must close on the purchase of the replacement property within 180 days of the sale of the relinquished property. And finally, the replacement property must be "like-kind" to the relinquished property - that is, it must be used for investment or business purposes.
If you're interested in a forward 1031 exchange, Freedom 1031 can help! Our team of experts has extensive experience with 1031 exchanges and can guide you through the process. We'll work with you to find the right replacement property and make sure everything goes smoothly. Contact us today for a free consultation to learn more about how the 1031 exchange could benefit you!
"Trent is the best professional to handle your 1031 exchange transactions because of his knowledge and experience. I highly recommend him."
"I highly recommend Trent Hendry for 1031 exchanges. I have had numerous clients use Trent for their 1031 exchange. He handles the transaction professionally and is very knowledgeable in the field of 1031 exchanges."
"I have a unique situation, Trent and his team have gone above & beyond and out of their way to assist me in getting things in order and I couldn’t be happier with the attention to detail and willingness to do whatever it takes to get my situation taken care of."
An improvement 1031 exchange is when you are doing a standard 1031 exchange and you use the proceeds of the relinquished property to acquire and improve the replacement property as part of your 1031 Exchange transaction.Learn More
A reverse 1031 exchange is when you purchase your replacement property before you close on the sale of your relinquished property. It involves additional paperwork and procedures on top of the standard 1031 exchange.Learn More