Is a 1031 Tax Exchange Possible in La Jolla?

1031 Exchange in La Jolla California

A 1031 Tax Exchange is a way to defer taxes when purchasing a property in La Jolla California. Basically you should never have to pay income taxes on the sale of property if you reinvest the proceeds in like-kind property.

Reasons to change property vary with La Jolla Investors. We know the basics about tax-deferred exchanges, but we strongly suggest that you should consult with your Financial Professional to explain and map out your plan for using a 1031 Tax Exchange before you engage in a La Jolla Real Estate Transaction. Together your Financial Professional and our Team can work towards your finanical goals in you La Jolla purchase.

The many rules and regulations on a 1031 Tax Exchange can be confusing and it is best to work along with your La Jolla Financial Professional to ensure that you do not become liable for taxes. La Jolla Properties that do not qualify for a 1031 Tax Exchange are:

Construction
Fix/Flips for Resale
Inventory property
Notes
Partnership interests
Personal Residence
Corporation common stock
Bonds

Types of 1031 Tax Exchanges:

Simultaneous Exchange - no interval between the two closings.
Delayed Exchange - there are rules and strict time line for this type of exchange.
Reverse Exchange or Title-Holding Exchange - when the exchanged property is purchased prior to the first property's closing
Improved Exchange - You acquire a property, schedule construction of improvements and then receive the property as an exchange.

As with all investments, please check with your Financial Professional for more information on 1031 Exchanges. Then call us to find the perfect La Jolla property!

http://www.lajollacommunities.com/000D4B

Posted on August 20, 2007 06:51:23 by Marti Gellens

Posted in La Jolla Farms, La Jolla Heights, Hidden Valley, La Jolla Alta, Crystal Bay, Business, Real Estate

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