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Updated over 8 years ago on . Most recent reply
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1031 Cash Out Question
There are two properties, the investment property to 1031 and my primary home. I need $100k out of the investment property to lower the principal on my primary and refinance it. I am already planning on selling the investment property and doing a 1031 into another deal. The investment property is worth $1mill. What is the best way to get the $100k I need? It would be more economical to sell the investment property and take the $100k from the proceeds. If the replacement property is $1mill or more, now with an additional $100k mortgage, is it still a legit 1031? Should I cash out refinance the investment property to get the $100k before I sell it? This would be more costly with the refinance fees, etc...
Thanks for the feedback!
David