1031 Exchanges
If you're planning to sell an investment or business property, you may be able to maximize your investment potential with a 1031 Exchange. A 1031 Exchange, named after Section 1031 of the IRS code, allows real estate investors to defer paying capital gains taxes when they sell an investment property, as long as they reinvest the proceeds into a "like-kind" property.
How to Qualify for a "Like-Kind" Exchange
The replacement property must be of similar nature or character, or used in a similar way, but does not necessarily have to be exactly the same. It must also be of equal or greater value, and you must reinvest all of the equity in the replacement property, resulting in the same or greater debt on the replacement property. Both the relinquished and replacement properties must be held for productive use in a business, trade, or for investment purposes. Generally, any investment in real estate is "like-kind" to another investment real estate (a primary residence or second home purchased primarily for personal use would not qualify). Contact our 1031 Exchange specialists today to find out more.
Some examples of "like-kind" property include:
- Vacant land for a retail property
- Single-family rental home for a multi-unit apartment building
- Commercial building for raw land
- Apartment building for an office building
Our Services
Texas Traditions Exchange, a wholly owned subsidiary of Texas Traditions Bank, can help you facilitate Section 1031 property exchange transactions, regardless of where your property is, since we are a nationwide qualified intermediary. We are licensed and regulated and can provide the expertise and resources to streamline your exchange and provide the necessary security of funds.
We are here to:
- Give you expert recommendations based on your goals
- Act as your Qualified Intermediary (QI), an IRS requirement
- Manage all required procedures and documentation
- Handle the entire, complex 1031 Exchange process
Contact our 1031 Exchange Team today!
Our dedicated exchange specialists are here to help simplify the exchange process.
John Starling
President, Texas Traditions Exchange, LLC
Phone: 281.505.9520
Cell: 910.616.1991
Email: jstarling@txtraditionsbank.com
Sarah Starling
SVP, Certified Exchange Specialist, Texas Traditions Exchange, LLC
Phone: 281.505.9521
Cell: 910.233.5050
Email: sstarling@txtraditionsbank.com
*Texas Traditions Bank, including its wholly owned subsidiary, Texas Traditions Exchange, LLC does not provide tax, legal, or accounting advice, nor can we make any representations or warranties regarding the tax consequences of your exchange transaction. Consult a qualified tax advisor for guidance specific to your situation.