How to use a 1031 exchange

[Patrick GRibbin]

Hello to the BP Universe. I have just started listening to the podcasts and have already learned a ton.

I was wondering if anyone could help me out on my question. My wife and I have a single family rental home in Atlanta I am going to do a 1031 exchange on. We live in Greenville, SC and want to take our home we life in now and convert it into a rental. Can the funds in a 1031 exchange be used to purchase a personal residence or only other investment properties since it comes from the sale of a previous investment property.

If anyone can help me out on this please let me know. It would greatly be appreciated. We are just starting to get serious about investing into real estate to provide a better future for us.

Thanks,

Patrick