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Updated over 1 year ago on . Most recent reply

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Would this scenario qualify for the 1031

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I own a property separate from my fiancé. I am looking to sell my investment property and take advantage of the 1031 to help defer the  significant capital gains.  My question is this: if my fiancé buys land and he builds a new house on it of equal value to the net sale of mine, can I then sell my house and buy from him once complete,  so that I can meet the 45 and 180 close rule? My intent would be to use it as an investment property and we  would use it according to the 10 percent or 14 day rules.  The other option is buying from a developer/builder in another state but the build will not be ready until June 2024 which makes it more difficult to fit into the strict deadlines if project is delayed. Any thoughts would be appreciated. Thanks in advance.

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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
Replied

@Dave Foster Is this covered in your book, regarding related parties?

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