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Wealth Building Strategy - Investment Property Consultant
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"1031 Exchange is one of the best
Strategies left to Taxpayers"
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On April 25, 1991, the IRS issued deferred exchange
regulation-Reg 1.1031(k)-1.
This tax code allows taxpayers to defer ALL of the capital gains taxes resulting from
their sale of investment property, when they will, use a Qualified
Intermediary & following the I.R.S. guidelines, use the money to buy
more suitable investment property within 180 days of the close of their
sale.
This means that you can reinvest the money you would
otherwise have lost to capital gains tax if you will use the extra money
to buy more investment property for the purpose of making more money.
This can be done within and between all classes of real property
anywhere in the USA. Our service team is here to help make 1031 Exchange
as easy and effective for you as possible.
Here is a simplified example of the difference:
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Selling Property Without Benefit of 1031
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Selling Property as a 1031
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If
your Sale Price is: |
$750,000 |
If
your Sale Price is: |
$750,000 |
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Less
your Mortgage: |
$450,000 |
Less your Mortgage: |
$450,000 |
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This
Leaves Equity of: |
$300,000 |
This Leaves Equity
of: |
$300,000 |
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With
your Sales Price at: |
$750,000 |
With your Sales Price
at: |
$750,000 |
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and a
Cost Basis of: |
$250,000 |
and a Cost Basis of: |
$250,000 |
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You
have a Taxable Gain of: |
$500,000 |
You would have a
taxable gain of: |
$500,000 |
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At the
base Federal Capital Gain |
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However, since you
will use all |
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Tax
rate of: |
15% |
funds to purchase
more |
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Taxes
due: |
$75,000 |
suitable investment
property, |
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Left
for investment: |
$225,000 |
your taxable gain is: |
$0.00 |
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Taxes due: |
$0.00 |
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Left for investment: |
$300,000 |
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Tax Savings: |
$75,000 |
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(State
taxes not included in the above) |
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This
is why 1031 Tax-Deferred Exchange is often cited as “The Best Tax
Loophole Left.” When you get ready to sell that replacement
property, you utilize 1031 tax deferral again. Now the amount of
your tax savings has quadrupled. Bigger and better replacement
properties that earn you more income can be yours. If you keep
exchanging and never cash out, the difference in the size of your
empire will be phenomenal!
Call for a free 1031 Exchange Consultation.
Haven Exchange is a fully bonded Qualified Intermediary for 1031
Exchanges, with an unflagging commitment to security and service.
We’ve coordinated over 11,000 successful exchanges and we are
available from 6am to 6pm PST, 7 days a week.
We have a friendly, experienced support team, including CPAs
specializing in 1031 Exchange, waiting to help you.
Call us Toll Free: 866 794-1031
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$500 covers you for one relinquished property and one replacement property.
An additional $175 will be charged for each replacement property purchased afterwards.
There's a $30 wire fee for outgoing
wires.
That's it. |
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AND we pay interest on the funds while
we hold them. |
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