All Forum Posts by: Noa Zell

Nope. You aren’t going to convince the irs you bought a property as an investment if you sell it the same week. They’re going to call you a “dealer” and count your real estate as inventory. You’re going to face the maximum taxes possible. State and federal and maybe self employment.

You alternatives are hold for a year to only pay capital gains tax. Move in to it and fix it up and stay there for 2 years to be tax exempt. Anything less than a year is penalized.

Ps. Ignore the move in I see your second post saying commercial. So hold for a year and fix it up would get you down to just capital gains tax.

Thank you Bill!

1 Vote

Los Angeles County, California

Note that the property is a commercial property

0 Votes

Los Angeles County, California

Thank you @Jon Schwartz and @Kristi Kandel!

1 Vote

Los Angeles County, California

Are there any good alternatives to a 1031 exchange for a back to back escrow deal, since the property in question will never be under my name? I have an option to purchase at an attractive price but would rather not bring cash to the transaction. I am looking to secure a buyer and close with both parties in escrow. How can I avoid capital gains tax if at all?

Any first-hand information on DSTs of 731s would be helpful, or any other creative ideas that could make this deal profitable.

1 Vote

Los Angeles County, California

I have an option to purchase an MR1 lot in a great location in LA but I'm skeptical regarding uses for this kind of land. I considered rezoning to commercial and selling to a developer, but as I understand it the city is currently very reluctant to approve these kinds of requests and commercial development is very slow because of high interest rates. I'm looking for insights regarding creative uses for MR1 lots (currently there are 4 auto repair shops on the 14k+ sqft lot).

What kind of buyers would be interested in a lot like this?

How can I increase income from this property?

How can I maximize the selling value?

0 Votes

Los Angeles County, California

All Forum Posts by: Noa Zell

Noa Zell has started 2 posts and replied 5 times.

Post: 1031 Alternatives for back to back escrow deal

Post: 1031 Alternatives for back to back escrow deal

Post: Uses for MR1 Properties in Los Angeles

Post: 1031 Alternatives for back to back escrow deal

Post: Uses for MR1 Properties in Los Angeles