If you are like most people, you think of the 1031 exchange as a way of getting out of or at least delaying your capital gains taxes. 

Since most people don't do exchanges on a regular basis, it's not surprising that they wouldn't take the time to investigate further.  They simply have no need to.

That's where you are different.  If you are reading this, you probably have a more than average need to know more.

Whether you are an investor, reseacher, a real estate professional or competitor you have to admit you are curious as to what The Private Exchange Group, Inc. means when we say "strategies".

Below you will find examples of 1031 strategies. 

Please understand that due to the personal nature and tax implications of 1031 exchanges these are for illustration purposes only.  The Private Exchange Group recommends that you contact your legal and tax advisors for your personal solutions.

Example 1:  LLC Members want to go separate ways

You are a member of an LLC made up of three members.  The LLC is selling it's only property and two of the three members want to do a 1031 exchange.

Strategy:  Quit Claim members on to the title.  The members are free to do what they want with their proceeds.

Example 2:  Exchange large property into smaller ones

You have a 10 unit apartment building in a declining area.  You want to exchange it for 10 single family properties in a growth area.  You can sell it for $1M.

Strategy:  Find up to 20 replacements valued at no more than $2M.  That way you have several to choose from. 

NOTE: You have to be careful because the IRS rules limit your choices when identifying replacement properties.  If you put more than three on the list, the total sum of all the properties can't exceed twice the sale price.