Using proceeds from sale to invest in already owned property?

[Chris E.]

I know its a question to ask a professional near me. But I figured Id see what I can get on here. Im looking at buying a property with 2 houses on it in a couple weeks. Ive considered separating them and selling one right away. Can I use the proceeds from this, tax deferred, to invest in the rehab of the other house?

Also, how would I be charged tax on the deal if I split them up and just sold one before the county got around to assessing them? Would the county just take the assessment value of the whole property and split it 50/50 and say thats what each is worth?

I'm planning on keeping one as a short term rental and for what I'm paying, I could probably sell the other as-is and get the first house basically for free out of the deal.

[Wayne Brooks]

1031 would definitely not apply.....sold property must have been held for long term investment and sales proceeds must be used to Buy a new property.