1031 Alternative for a sale.

[David Lant]

Greetings fellow investors.

So I have a question. I own a investment property that is valued at around 800k. I own it free and clear and I'm thinking of selling it. I really don't want to do a 1031 exchange so I'm looking for an alternative.

I was reading online that if you make under $47,025 you do not pay capital gains. I'm trying to figure out if its 47k is after i've deducted all my deductions and losses or is it based on the gross?

Because I paid so little for the property I fear I will be hit with a huge tax bill. My dream would be my available cash to live on for the year and start the process of selling the property. so I stay under the 47k and use the money from the sale on a new rental and flip project. The projects would not be put on the market to rent and sell until Jan 2025 to avoid going over the 47k. 

I've owned the property for 8 years and the rent for the property is 54k annually so I'm hoping with deductions and losses I could get under the 47k. Because of the real estate investment work I do I can take a break and not take any other projects on so my only income for the year would be the 54k from the rent.

Does this sound crazy? if it does than feel free to mock me.

Upstate New York, New York