Procedural Analysis of 1031 Exchange
Highly experienced and savvy real estate investors know that a 1031 exchange is a common tax strategy that assists them to increase their net worth faster and grow their portfolios more efficiently than would otherwise be possible. Thus, a 1031 exchange can save significant amounts of money for a real estate investor. So, even if you’re sitting on hundreds of thousands of dollars in profit from an investment, a 1031 Exchange Salt Lake City can let you use all of your proceeds to reinvest in another property. The Big Picture: The last statement in the above para clarifies that the basic idea of a 1031 exchange is that you’re selling an investment property and reinvesting the proceeds in a “like-kind” property. In practice, it just means that you’re selling one business property and buying another. As long as both the properties are in the United States, there aren’t many restrictions on the type of investment properties you can sell and buy. In f...