All Forum Posts by: Charles Wesley

@Dave Foster Thanks for that detail on the timing of the 1031!

My primary goal is just to determine the best way I will handle the gain on the potential sale of the land.  I definitely won't be going out getting any cash out refi's any time soon.  :)  

Wow, you guys are all great!!  Thank you so much for your thoughtful replies!

@Dave Foster , I see what you mean about using a 1031 to buy some alternative form of passive, cash producing real estate.  These products seem interesting but because of my lack of experience with them, I prefer something more tangible that I can actually touch.

Also, generally speaking, I like the strategy that you give Dave R credit for which is selectively leveraging equity and paying debt.   I will need to run the numbers to see what that looks like.  Of course, this is just with the overall goal in mind of reducing mortgage debt and could be part of long-term planning.  It doesn't necessarily have any bearing on my issue at hand which is determining what to do with the gain from the sale of a property which I am not sure I want to sell!  :)

I go back to your comment that "If you sell without a 1031 you are paying tax."  It may be really just that simple!

I was also considering if I do sell without a 1031 I could request 50% of the sale price this year and 50% in Jan 2019.  It would be a big tax saving for me by doing so.  

@Curt Smith I think that is a great straightforward approach.  I wonder how to determine how much to insist as a down.  I can figure out what is the most I can accept from a strategic perspective as it relates to my taxes.  But as it relates to being a mortgage holder how do I decide when the buyer has enough skin in the game? 

Thanks for that suggestion, Matt. I am thinking I may want more control over my money/investment than a DST could offer. I am just learning about DST however it seems like it locks up my funds and is complicated compared to what I am used to which is simply managing rental properties. Is there a source you would recommend to research DST?

This is my first post folks so I hope I'm in the right place.  I sure do appreciate hearing other perspectives from all the creative minds on this forum so thank you in advance!

I have a vacant parcel of commercial land, free and clear.  Someone wants to purchase it for 450K.  My gain will be about 250K.

I own a few other investment properties including duplexes and houses that all have mortgages.  My primary residence also has a mortgage.

How can I be strategic from a tax perspective with the gain?  Is there any way I can use the gain from the sale of the land to pay down mortgages on other investment properties?  I really don't want to reinvest the gain in a new property so I think that means no to a 1031.  I am really most interested in trying to pay down debt that I already have.

Other things I have heard about are self-directed IRA's where title to a property is held in the name of the IRA. Could that help?

Any ideas??

Thank you!!!
Wes