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Updated about 8 years ago,
Holding period question for 1031 exchange
Hello experts,
I believe that for a full tax deferral of profits through a 1031 exchange, I need to have occupied the property for at least 2 of the last 5 years. A rental property that own was occupied by me for the first 18 months of the last 5 years, and was rented out for the remaining 3.5 years. If I sell this property today, would the sale not qualify for a 1031 exchange? Or does the tax due on profits get pro-rated in some way?
Thanks!
Nitin