1031 Exchange Reinvestment Requirements

[Sherwin Gonzales]

Happy Friday BP universe! I've got a 1031 exchange question...

Do i have to purchase a replacement property equal to my sales price or just the amount of my capital gain?

Say I bought my property for 400k.

I sell it for 500k which gives me a cap gain of 100k (after I minus the routine selling expenses such as broker's commission, title charges, escrow fees, recording fees, exchange fees, etc).

Does my replacement property need to be equal or greater than 500k (sales price) or 100k (cap gain)?

Much thanks in advance!