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Updated 1 day ago, 12/26/2024

User Stats

28
Posts
11
Votes
Adrian Rae
  • Rental Property Investor
  • San Diego, CA
11
Votes |
28
Posts

"Sale Conditions: 1031 Exchange" - What does this mean for buyer?

Adrian Rae
  • Rental Property Investor
  • San Diego, CA
Posted

For the most part, I think I understand the basic idea of a 1031 Exchange. Let's see: You sell one property, and to avoid paying cap gains tax, you then reinvest those profits within 45 days into a larger "like kind" property. Yeah?
So if I, as a buyer (full disclosure, major newbie here!), see that under "sale conditions" it's listed as 1031 Exchange, what affect would that have on me - somebody interested in purchasing their property? Could this mean the actual sell of this property is contingent upon the seller finding a property of their own to 1031 Exchange?

Thank for your help clarifying this for me.

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