Posted by Robert McNeely on April 22, 1999 at 08:21:22:
Call 1-800-TRY-1031 and ask for a package of information, it should answer your questions.
1031 Exchange - Posted by BR2
Posted by BR2 on April 22, 1999 at 05:01:48:
I’m thinking about selling a home this summer, but was wondering if the 1031 exchange would only allow me to buy one home, or can I use it and buy two homes?
Also, what are the pro’s and con’s?
Thank you to all.
Good advice below… - Posted by JHyre in Ohio
Posted by JHyre in Ohio on April 22, 1999 at 09:32:44:
in addition, be sure that the transaction costs are less than the taxes deferred. A multiple-unit exchange should run about $2k to $3k in costs.
John Hyre
No cons. Do it. (nt) - Posted by Mark (SDCA)
Posted by Mark (SDCA) on April 22, 1999 at 09:10:07:
nt
Re: 1031 Exchange - Posted by Sue (NC)
Posted by Sue (NC) on April 22, 1999 at 08:52:04:
YES, YOU CAN!
I’m not an accountant, but here goes…
You can exchange from one investment property into many, but if you need more than 45 days to close, the rules for identifying multiple replacement property will need to be carefully considered.
You have 45 days to identify your replacement property, so if you close on all of the replacements within 45 days, you just identify them when you close.
The reg gives you 180 days to close, so if you need more than 45 days, you have to identify the properties before you’ve purchased them. There are 3 rules for doing this:
- 3 property rule: pick up to 3 replacements regardless of value.
- 200% rule: pick any number of properties with a combined value of up to 200% of the value of the property you sold.
- 95% rule: pick any number of properties with any combined value, as long as the value of the properties you close on equals 95% of the value of those you identified.