The 1031 Exchange, of the Internal Revenue
Code of 1986, offers real estate investors a great investment
opportunity to build wealth and save taxes. By completing
an exchange, the investor (or excharger) can dispose of
their investment property, use all of the equity to acquire
replacement investment property, defer the capital gain
tax that would ordinarily be paid, and leverage all of their
equity into the replacement property.
As an investor, a 1031 Exchange can be
an excellent way to acquire a new property AND save money!
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use and may not be used for any other purpose.