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Short-term rentals like Airbnb and VRBO properties have become some of the most popular investment vehicles in real estate. But many investors don’t realize these properties can also qualify for a 1031 exchange—a powerful strategy that allows you to defer capital gains taxes and grow your portfolio faster. The key is doing it correctly—and that’s where working with an experienced 1031 qualified intermediary becomes critical. Do Airbnb and VRBO Properties Qualify for a 1031 Ex

Few people look forward to the tax season that follows the sale of an investment property. That’s why so many people investigate 1031 exchanges. With this technique, investors can roll the taxes into the basis of the new property. While it works, 1031 exchange alternatives exist. We’ll explain what a 1031 exchange is, and we’ll outline some alternatives that can also help to keep your profits. What Is a 1031 Exchange? A 1031 exchange is a coordinated real estate transaction

A 1031 exchange allows you to roll your tax obligations from one property into another. With this method, you can keep more of your profits in circulation, and hopefully, they’ll continue to grow with time. While you may know how a typical exchange works, we’re about to show you some 1031 exchange examples that turned big profits for investors just like you. What Is a 1031 Exchange? A 1031 exchange is a coordinated transaction involving the sale and purchase of investment pro

The 1031 exchange 200 rule involves the value of your replacement properties. Follow this rule, and you can identify as many properties as you want to. However, their combined total value can’t exceed 200% of the value of your original property. In this article, we’ll explain what the 200% rule is, how it works, and how you can comply. We’ll also outline another way to choose properties that doesn’t involve percentages at all. What Is a 1031 Exchange? A 1031 exchange is a t

Finding and hiring a 1031 exchange accommodator is a critical part of avoiding capital gains taxes. As a real estate professional, you may know that you need one. However, you may be unsure about how to hire one. Look for things like experience, bonding, membership, and proof of continuing education to ensure you’re working with the right person. What Is a 1031 Exchange Accommodator? An exchange accommodator (sometimes called a qualified intermediary) is a required part of yo

A typical 1031 exchange service costs between $500 and $1,500. That fee includes things like setting up the exchange, creating an account, processing paperwork, and holding your money. A 1031 exchange service is an important part of a successful transaction. While it’s important to know what they charge, price shouldn’t be your only consideration when you choose a professional to help. Here’s what you need to know. What Is a 1031 Exchange? A 1031 exchange involves the exch

A typical 1031 exchange involves two properties—one property that is sold and one that is purchased. However, you’re not required to follow this model. A 1031 exchange with multiple properties is possible. You can sell multiple properties to purchase one. You can also sell one asset and purchase multiple others. In this article, we’ll explain how this works. We’ll also outline the risks and benefits of using this option. What Is a 1031 Exchange? The Internal Revenue Service (

In limited situations, you can do a 1031 exchange on a second home or vacation rental. You must prove that you’ve used these properties as investments for the majority of the time. That means you’ll need clear records and plenty of notes. We’ll explain how these delicate transactions work and help you make the best decision for your portfolio. What Is a 1031 Exchange? A 1031 exchange (sometimes called a deferred exchange) is one in which an investor sells one property and b

You can defer capital gains tax on the sale of a commercial property. In fact, thousands of people do this every year. A 1031 exchange involves selling assets and rolling the potential capital gains tax into the basis of assets you buy. We’ll explain what 1031 exchanges are, how they work, and why you might consider one to defer capital gains tax. What Are Capital Gains & How Are They Calculated? Capital gains are taxes assessed when an investor sells an asset and makes a pr