1031 exchanging up to a better town and deal

[William Collins]

So today is the end of a long journey. One that made me nervous and excited.  I am buying my largest deal to date, 14 units at one shot.  The units are in a great town in Connecticut, part of Canton. The deal involved selling 5 of my properties (duplexes and a triplex) to get it done. So I sold approximately $1250000 of property to net $480,000 in a 1031 exchange to then use to buy $1750000 of property.  

The big wins:

1) Going from C class towns with C class buildings to a B class town. (Manchester and New Britain) 

2) Dropping taxes paid per year from just over $30,000 to less than $15000

3) Dropping water and sewer rates due to the new property being submetered. 

4) Consolidating units closer to my Property Manager.

Once the property is fully stabilized it should net $4200 cash flow free and clear/ month. 

Big shout outs to my cousin/partner and @Michael Noto who helped me get my sales done!

[William Collins]

@Alex Velez  Here is the breakdown of my situation

Town	Number of Units	Rent roll/month	Estimated Value	Net change	Price of sale
New Britain	3	$2,650	245000	Sold	$260,000
Manchester	2	$2,500	230000 SOLD for 260000	SOLD	$260,000
New Britain	2	$2,600	210000 Sold for 22000	SOLD	$220,000
New Britain	2	$2,450	210000 Sold for 260000	SOLD	$260,000
Manchester	2	$2,650	245000 Sold for 260000	SOLD	$260,000
	Equity returned and growth for 1031		$485,000
Canton	3	$3,325	$400,000	bought	Fixed 30 year 5.25
Canton	11	$12,155	$1,375,000	bought	Fixed 30 year 5.75
subtotal			$1,755,000
Manchester	2	$2,750	$280,000	Keeping
Berlin	3	$3,950	$400,000	Keeping
Bristol	2	$2,300	$210,000	Keeping
Bristol	4	$4,745	$350,000	Keeping
Manchester	2	$2,250	$210,000	Keeping
Bristol	6	$7,190	$650,000	Keeping
Southington	2	$2,500	$325,000	Keeping
Southington	2	$2,500	$325,000	Keeping
Manchester	2	$2,800	$250,000	Keeping
Manchester	2	$2,500	$250,000	Keeping
Berlin	2	$2,550	$270,000	Going for sale
	43	$51,515	$5,275,000
Manchester	4	$4,000	$450,000	buying	$290,000
Manchester	3	$3,000	$300,000	buying	$160,000