1031 EXCHANGE RULES & RESOURCES

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Download our FREE guides to learn more about 1031 Exchanges, how they work, and 1031 Exchange rules. And don’t forget to check out our blog articles below to stay on top of different 1031 Exchange options and investor tips.

Understanding
1031 Exchanges

  • 1031 Exchange Basics
  • How 1031 Exchanges Work
  • Benefits vs. Risks
  • 1031 Exchange Rules
  • 1031 Exchange Options

Investing in
Delaware Statutory Trusts

  • What is a Delaware Statutory Trust?
  • How DSTs Work
  • Benefits vs. Risks
  • 1031 Exchange Rules for DSTs
  • 1031 Exchange Options for DSTs

1031 Exchange FAQ

Here are a handful of frequently asked questions related to 1031 exchanges. See our 1031 Exchange FAQ to learn more.

As defined by the SEC, an accredited investor is an individual who has either a $1 million net worth excluding their primary residence or $200,000 of income individually or $300,000 joint income for each of the last two years with a reasonable expectation for the same in the current year.

DSTs are held for anywhere between 3 – 10 years. Should investors want to exchange out of the property, conservatively, the DST property should be held for a minimum of two years. Typically, the DST loan’s prepayment penalties become palatable after year 3. DSTs with debt in place are not allowed to refinance, as such with 10-year fixed rate commercial debt, 10 years becomes the maximum hold period.

Should you be interested in selling your position in a DST, there is a mechanism to do so. However, it cannot be guaranteed that you will be able to sell the DST investment, nor receive your entire investment back unless the market conditions support it.

1031 Exchange Glossary

Here are a handful of key terms related to 1031 exchanges. See our 1031 Exchange Explained glossary to learn more.

1031 BLOG Articles

1031 Exchanges have become increasingly popular with savvy real estate investors looking to reduce tax, transition to passive management, and maximize return potential on investment equity. Learn more about 1031 Exchange rules and strategies to help you plan the transition with your investment property.

Fee Simple vs. DST
Uncategorized

Fee Simple vs. Delaware Statutory Trusts

Owners of investment real estate consider 1031 Exchanges for many reasons. Two of the most common reasons are capitalizing on new opportunities or reducing the risk associated with the current property. The next two articles will compare the potential opportunities

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How to Calculate Tax Basis
1031 Exchange Calculations

What is Tax Basis and How to Calculate It.

Investment real estate is far from static, there are many factors that change during the ownership period. Tenants, lease rates, and property values are a few of the most dynamic elements – all change regularly and are crucial to monitor

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how-to-find-a-qualified-intermediary-real-estate-transition-solutions
Qualified Intermediary

How to Find a Qualified Intermediary

Successful real estate investors come from a wide variety of backgrounds and employ an assortment of investment techniques. All have their own unique approach to owning, managing and selling assets. However, I believe successful investors have one common element: a

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property-ownership-structure-and-1031-exchanges
1031 Exchange

Property Ownership Structure and 1031 Exchanges

Co-ownership structure issues are one of the most common stumbling points for 1031 exchanges, however this need not be the case. With proper understanding and planning, most co-ownership structures can be worked through to satisfy the co-owner’s respective investment objectives.

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why-use-the-irc-1031-exchange-counting-money
1031 Exchange

Why Use the IRC 1031 Exchange?

Real estate investors are constantly on the lookout for ways to maximize their property’s cash flow and return on equity. One way to maximize cash flow is to increase the leverage on a property through a refinance and utilize the

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