1031’s have long been a real estate investor’s friend. For those of you who are unfamiliar with them, it is a section of the IRS tax code that allows a person to sell an investment property and purchase another – tax free.
1031’s of course are simple in theory but have a few stipulations by the IRS. If you are considering buying a mountain property and want to do a 1031, we would be happy to guide you through the process.
Here’s the basics behind the new rule: a person who owns a vacation or second home for at least 24 months, uses it for 14 or less days a year, or less than 10% of the time it was rented in any of those years, can qualify that dwelling unit for a tax-deferred Exchange. You don’t have to rent it out for an extended length of time, it could be rented for just 14 days a year and still can qualify.
Need help navigating your 1031 tax exchange? The Poltrock Team is here for you—and while you’re planning, check out things to do in Murphy NC to make the most of your investment visit!
Want more help? Contact us! John and Jessica – The POLTROCK TEAM at RE/MAX Mountain Properties – www.MyMurphy.com – JohnPoltrock@gmail.com – Call Toll Free (877) 837-3002 and demand the POLTROCK TEAM! for Homes, Land, and other types of real estate in Western North Carolina