Non-Tax Reasons to Exchange
- Property Not Cash Flowing Well?
- Fully Depreciated?
- Free & Clear?
- Thinking of Leaving Investment Property to an Heir?
Generally, when people think of doing a 1031 Exchange, they immediately think of the tax deferral benefits that they will receive. However there are a number of non-tax reasons to consider doing a 1031 Exchange.
Perhaps you are an investor or you are working with a client who owns investment property. If that property is free and clear, significantly (or fully) depreciated, not cash-flowing as well as it could be or is in an area without much appreciation in property value, it may be time to think about doing a 1031 Exchange. At IPX1031®, we work with our clients to see how they are positioned in the market today and how they would like to be set up in the future.
And if you are concerned about the tax consequences that your heirs may face when they inherit your property, contact us to get more information on how 1031 Exchanges may be used as an estate planning tool.
For more info: Newsletter September 2012