Are you a real estate investor or property owner interested in utilizing a 1031 Exchange in your transactions? The 1031 Exchange is not a tax loophole. It is a section of the Internal Revenue Code, written by Congress, to allow anyone who meets all the requirements to sell their property and defer paying taxes on the gain. A 1031 Exchange may save you thousands in capital gains taxes.

A properly structured 1031 Exchange allows an investor to sell a property, to reinvest the proceeds in a new property and to defer all capital gain taxes. In order to access the full potential of these benefits, it is crucial to have a Real Estate Lawyer with a comprehensive knowledge of the 1031 Exchange process and the IRC.

	A 1031 Exchange makes it possible for investors to sell and buy property of like kind while deferring tax consequences.
	This transaction is authorized by section 1031 of the IRS code and offers investors a reliable strategy for the protection of their real estate assets.
	A successful 1031 exchange allows the investor to reinvest 100% of the equity from the sale of a property into the purchase of a preferred replacement property without recognizing any gain.
	This type of property sale and reinvestment can either be done through a simultaneous or delayed 1031 exchange.
	In most cases a 1031 exchange is done as three-party delayed exchange also known as a "Starker Exchange" in which an intermediary ensures a reciprocal transfer of the properties and provides a "safe harbor" against the actual receipt of exchange funds.
	It is extremely important that this process be done correctly, otherwise, a taxable event may occur.

1031 Exchanges provide real estate owners with a range of opportunities to meet personal investment objectives including increased leverage, improved cash flow, diversification, reduction of management obligations, geographic relocation and/or consolidation. The tax dollars saved by a 1031 Exchange may be maximized to increase an investor's overall net worth. Strategic Tax and Wealth Planning can further maximize the value of current and future assets.

Always consult with a Real Estate Lawyer to properly structure a 1031 Exchange transaction.