Tag Archives: 1031 Exchange

1031 Exchanges Basics – A Comprehensive Guide to Tax-Deferred Property Transactions

Tax & Exemptions, , , ,

Named after Section 1031 exchanges of the Internal Revenue Code (IRC), a 1031 exchange is a tax-deferred transaction that allows an investor to sell a property and reinvest the proceeds in a new property of like-kind without paying capital gains taxes on the sale at the time of the exchange. This provision applies to real estate and certain other types of property held for productive use in a trade or business or for investment. The tax liability is essentially rolled over into the replacement property. It’s important to note that […]

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What is Escrow?

Church Real Estate, , , , ,

The Escrow Process There often seems to be some confusion as to what and Escrow is and how it functions in regard to the sale of a property. What follows is a brief description of the Escrow Process and how it works. In short, an Escrow is the process in which a Buyer and Seller use a neutral third party for the delivery, safekeeping, and disbursement of documents, and funds. This third-party intermediary acts under agreed written instructions from both parties (not just one party), and will not act until […]

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