Real Property qualifies for a tax deferred exchange under IRC 1031 if both the relinquished property and replacement property are held by the Exchanger for investment purposes or for productive use in trade or business.
The following is a partial list of properties that may qualify for a 1031 Exchange:
IRC 1031 does not qualify:
(Please note that the Exchanger’s purpose and intent in holding property is the deciding issue. The type of real property is not a critical issue nor is how other parties utilized the property a critical issue.)
For more information, contact Northland Securities1031.
Northland Securities strongly recommends review of all property by your qualified intermediary, tax professional and legal advisor. Contact Northland Securities1031 for additional information regarding an IRC 1031 Like-Kind Exchange.