5min How 1031 Exchanges Work / How to Maximize Your Real Estate Investments with 1031 Exchanges – IPX1031

 

Investment Property Exchange Services, Inc. (IPX1031) is a full-service Qualified Intermediary with highly specialized 1031 Exchange divisions.

Property can be a very lucrative investment bringing along a steady cash flow and diversification in portfolio today investors are taking their investments a step further by capitalizing on 1031 exchanges 1031 exchanges have been around for over a hundred years in fact their routes go back to 1921. a 1031 exchange is simple an investment in real estate is sold in exchange for a new real estate investment the taxes which would otherwise be owed on the capital gains of the first investment are deferred and only paid when the second investment is sold this allows individuals to keep more cash on their investment to buy multiple Properties or larger properties using less Leverage this also allows businesses to move into new locations that more efficiently meet their needs by deferring the taxes the business is good to keep more cash in the business they use less leverage they grow faster and they can hire more employees

Tax deferred exchanges are available to all U.S taxpayers for both commercial and residential properties now when it comes to the different types of properties being sold we’ve seen investors sell apartment buildings residential homes vacant land farms and ranches as well as larger real estate types such as hotels shopping centers and industrial commercial properties all taxpayers and businesses can utilize a 1031 exchange to diversify consolidate or relocate their investment properties giving them a better opportunity to manage and improve their Investments now remember a tax deferred exchange is only for investment properties it cannot be used for your primary residence 1031 exchanges allow taxpayers at all levels to achieve the American dream by utilizing one of the oldest sections of the tax code giving Real Estate Investors time to grow their wealth with tax deferral through like kind property exchanges all real estate is like kind this gives people doing 1031 exchange there’s a great deal of flexibility what I mean by that is we’ll have people who are selling single-family rental homes and they’ll purchase additional single-family rental homes but they can also use their profits to exchange into an apartment building or another form of investment property section 1031 has been in the tax code for many years but it is full of guidelines and rules that must be followed for success for example the monies need to be held by a 1031 exchange company between the time the old property is sold in the new properties purchase this is just one of the many examples that must be followed in order to have successful tax deferral

Once you have your investment property under contract you need to hire a 1031 exchange company The Exchange company will guide you through the process and coordinate the transaction with the other parties to make sure you have a successful tax deferred exchange you can get a referral for an exchange company from your attorney your realtor your tax advisor or whoever is handling your real estate closing section 1031 of the IRS code offers Real Estate Investors one of the last great investment opportunities to build wealth and defer taxes as the nation’s largest 1031 intermediary IPX 1031 provides expertise and leading security for exchange funds not only is IPX 1031 one of the oldest and largest exchange companies in the country we have the most experienced staff including attorneys CPAs and exchange officers who’ve been with a company for many years we handle all different types of transactions ranging from residential rentals to Commercial and Industrial properties there are many different ways in which you can structure a 1031 exchange including delayed reverse and build to suit transactions which IPX 1031 specializes in all

IPX 1031 is dedicated to creating financial growth and prosperity for its clients utilizing its knowledge in 1031 exchanges to benefit anyone from business owners Farmers ranchers and individual investors.

in 2021 1031 exchange activity throughout the U.S supported 976 000 jobs 48 billion dollars in labor income and 97 billion dollars in GDP it is an exceptional growth engine for the economy supporting many blue-collar and professional jobs.

IPX 1031 is owned by Fidelity National Financial a Fortune 500 company we have the leading assurances in the industry available to our clients which include Fidelity Bond coverage as well as errors and Emissions insurance.

if you’re considering selling investment or commercial property and are interested in learning more about deferring taxes now is a great time to start planning, we’re the experts at what we do we’re here to help give us a call today get the most out of your property with investment property exchange services IPX 1031.

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