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Updated over 6 years ago,
Money spent on repairs for a 1031 exchange
Hi BP,
I have searched a bunch of different places and none of the articles that I have read and seen don't mention this so I thought that I would through it out to the community.
Here is my situation:
- I have a rental property that I bought in 2014.
- It has been rented until the beginning of 2018 when I evicted my tenants.
- I spent over $35k in renovation the property and now I am selling it. I am currently in escrow.
- I want to 1031 exchange it into a new property, but i would like to get the money that I spent on repairs back to have liquid. IS THIS POSSIBLE?
I know that in a 1031 you have to buy a property that is more than the sale price and the cash made from the property is supposed to be reinvested into the new property. I haven't found anything on monies that was invested into the property and how that may be handled?
Does anyone have information on this or can they guide to something that has this information?
Any information is much appreciated.