1031 – Property Exchange
Property Exchange
Through our experienced exchange associations, RE/MAX Commercial can easily assist with IRS (Section 1031) Starker exchanges. No longer are property owners required to exchange one property for another. The rules have been changed to allow for anyone owning a commercial property to be able to move their basis into another like-kind commercial property regardless of who buys the property, and thereby defer any capital gain taxes.
What Is a 1031 Exchange?
Also known as a Starker Exchange, the 1031 property exchange allows property owners to sell an investment property and reinvest the proceeds into another property of “like-kind.” The IRS designed this concept to help investors defer capital gains taxes that would come from selling the property, known in this case as the relinquished property.
Who Should Consider Property Exchange?
Property owners or investors in Louisiana or Mississippi who are looking to defer capital gains from their commercial investment property may be able to use the 1031 property exchange. This exchange is especially beneficial if you plan to sell your current properties and buy new ones. Our brokers can help you purchase or sell commercial properties and ensure a smooth transaction. Get in touch for more information.
What Are the Benefits of a 1301 Exchange?
Here are some reasons why you should consider a Starker Exchange.
Defer Capital Gains Taxes
Most investors seek property exchange for tax deferral, and you can utilize this tax break in your next commercial property investment venture. Essentially, you can utilize your new property’s equity instead of paying its value in taxes. Make the money work for you by deferring capital gains with a 1031 exchange!
Reduce Depreciation Taxes
1031 exchanges allow you to reset your commercial investment property’s depreciable amount. As such, you can enjoy further tax benefits and maximize your returns. Make the most out of your investment property with this exchange process.
Diversify Your Portfolio
As a commercial property investor, upgrading your portfolio is likely one of your goals. With a Starker Exchange, you can achieve this goal and potentially make higher returns than what you have been making from your original property. Consider the range of options you get from exchanging property.
Obtain Properties with Higher Values
A property exchange involves like-kind properties, which may help you reach your property investment goals better and faster. This benefit can also help you generate higher returns over time. Increase your commercial property’s cash flow through a 1031 exchange!
Let RE/MAX Commercial Help You Navigate Property Exchange
RE/MAX Commercial Brokers, Inc. is a dedicated company based in New Orleans. We are licensed to operate in Louisiana and Mississippi, giving commercial property owners or investors in both areas the opportunity to defer capital gains taxes as they pursue their investment goals.
