1031 Exchanges - Hwy 30A

As a 30A real estate brokerage, we enjoy working with 1031 exchange buyers and sellers.  We have successfully helped many of our customers complete successful 1031 exchange transactions, and we have a great system.  Below are some tips and facts about 1031 "like kind" exchanges for properties on the Emerald Coast of Florida.

• Please consult with an attorney and/or tax expert to make sure a 1031 is the best strategy for you and your specific situation.  The amount of profit from the sale, depreciation, and other items will dictate whether or not the expense of a 1031 is worth the benefit.
• You must hire a 1031 intermediary to hold the funds from the initial property sale.  You can never have access to the 1031 proceeds.  Your title company or Realtor can recommend a qualified 1031 intermediary.
• You must identify your 1031 replacement properties within 45 days of the sale of your property.  I do suggest beginning the initial real estate search prior to your 1st closing, as this gives us a jump on the 45 day identification period.  We normally start shopping for the replacement property as soon as your existing property receives a contract and sometimes we start strategizing when the existing property is listed for sale.
• You must close on the new replacement property within 180 days of the sale.
• To receive the full benefit of the 1031 exchange you must purchase a new property of equal or greater value.
• The new purchased property must be "like kind" and meet the 1031 guidelines.
• Very important - When purchasing your new "replacement" property.  You must include language allowing you to assign the contract to your 1031 intermediary.  
• Reverse 1031 Exchange:  If you would like to purchase a new property prior to selling your existing property, you may qualify for a reverse 1031 exchange.  This process is a little trickier but many have had success.  I suggest reaching out to a 1031 intermediary, tax expert, or attorney about the reverse 1031 option.  This option is more complex and more expensive than a traditional 1031 Exchange.

The 1031 exchange is one of the most beneficial aspects of our tax code and many smart investors utilize it on a regular basis.  Please reach out to me directly at 850.585.1284 to discuss dynamics, properties, and strategies.  I would love to offer you my experience and insight.

 "If you are interested in buying or selling 30a Real Estate, you need to look no further, because this website was designed with you in mind.  You are welcome to search all 30A Real Estate listings,  If you already own property on 30A, feel free to use this site to search recently sold comps and stats.  If you would like to utilize all functions of the site, like saved searches, auto updates, and saved properties, feel free to SIGN UP and we will never call, unless you ask." BrokerClayton@gmail.com