1031 Exchange / Taxes

[Kelly Ellis]

Bigger Pockets family,

I bought a piece of lakefront property for $30,000 a little over a year ago. We planned to build on it. Got engineered prints, cleared the land then decided that we didn’t want to move their because we wanted to keep our home that has more land. We just sold it for $70,000. I’m the realtor so we get to keep all of the selling amount besides the 1% Broker fee I pay. I also have a contractors license and a Construction company. We want to start flipping houses. How can I use this money towards our flipping endeavors without getting hit with a lot of taxes?

Could we do a 1031 with this property money if we did a rental instead of a flip?

I would rather flip but I know we need to watch out for Uncle Sam. 

Any help would be much appreciated!