1031 Tax Deferred Exchange
A 1031 tax deferred exchange (1031 Exchange) is an excellent tool available to owners of commercial real estate investments. To have a successful 1031 exchange, you must replace your property with a commercial real estate investment of equal or greater value. As long as you maintain equal or greater equity, you can increase the price and the debt.
Net Lease Properties offer tax advantages and leverage advantages that are not easy to obtain with most stock investments. Also, by using a 1031 tax-deferred exchange, investors can invest the full proceeds from the sale of one or more buildings that have appreciated in value into the purchase of one or more other buildings without paying capital gains taxes.