1031 Exchange question

[Account Closed]

Hello!

My question is simple to me but the answer im not so sure of. If i sell a home and net $250,000...would i be able to use that as 25% "downpayment" on another like kind property? I am investigating properties i should be looking at purchase.

How much investment property can i buy in my scenario?

Thanks for any knowledge you can provide.

Jose, CT

[Chris Brown]

To maximize available tax deferral in an exchange, your goal is to purchase replacement property that is equal to or greater in value than the property you sold, minus allowable expenses.  There is no cap on the value of new property.  Based on the numbers used, this would be a good exchange.