Weighing Options on a 1031

[Terrence W.]

Hi all! I'm new to the forums and wanted to see if anyone had some advice on how to start out with a 1031 exchange. I'm lucky to have inherited a property in San Francisco that I would like to sell and buy something closer to where I live in Denver. I would like to get into multifamily, but I'm having a hard time deciding where to focus. I could buy a small size apartment building or a couple of plexes. I'm torn between the small apartment because it will allow me to do one deal, but I'm not excited about having to do a commercial loan because of the loan terms and ballonpayments being due after 5/7 years. If I go with smaller plexes I think it might be hard to find enough properties to use all of the money in the 1031 exchange. I know this is a really terrible problem to have, but any advice would be much appreciated.