09/26/2024
This is such a valuable tool for real estate investors and property owners who want to defer capital gains!
What is a 1031 Exchange?
The Internal Revenue Code 1031 states that a taxpayer may defer recognition of capital gains and related federal income tax liability on the exchange of certain types of property that are “like-kind” and held for investment.
The Rules:
The exchange period begins on the date the deed records or possession is transferred to the buyer. The exchange period is 180 days to finalize the purchase or sale, with a 45 day identification period. The process must be handled with a federally licensed enrolled agent and a qualified intermediary. Replacement properties can be identified by the Three Property Rule, 200% Rule, or the 95% Rule. Only properties identified in the first 45 days can be purchased and have to be closed within 180 days from the start of the identification period.
How can Future Forest Properties LLC Help
The combined contacts and experience of owner Corey Figueiredo yields opportunities for clients, other firms cannot produce. Mikes over 50 years in the area provides access to many properties that are not formally listed but are under consideration of being marketed. Corey brings to the company 26 years of forestry experience with over 3,000 clients with over 250,000 acres of client property, while also having constant interaction with new properties, all providing a great pool of potential properties and buyers.
