Construction Exchanges

Timing and location are two major components of any successful real estate transaction. Knowledgeable taxpayers, aware of the opportunity to defer tax by exchanging their real estate for like-kind property, will begin their search for replacement property well before listing their relinquished property for sale. Many times, however, a suitable building cannot be located in the area where the taxpayer seeks to relocate. Instead of refusing to sell, or settling for less than perfect replacement property, the taxpayer can purchase vacant land and construct its own building, or a taxpayer could buy the less than perfect building and make any necessary repairs and renovations, in both instances, if structured properly, qualifying for tax deferred treatment under Section 1031.

Like conventional 1031 exchanges, construction exchanges can be simultaneous or deferred, forward or reverse, and structured in many different ways.

Call the knowledgeable exchange professionals at All States 1031 at
1-877-395-1031 for a complimentary consultation regarding your specific investment objectives.