Some of our clients have opted to pay capital gains tax on a portion of the proceeds and use that money for the renovation.Not all purchase contracts include the 1031 exchange language.

Yes, a portion you want to stay away from.

Seems like if I went with hard money I would be pay more in the interest only portion of getting the hard money… what am I missing here? 

The law portion of the test is much the same as in real estate.

You can email it to them, they fill in the sign portion then return.

My question is, am I able to pull a portion of that money out and just get hit with the gains?

The study identifies with forensic engineering detail the immediate Bonus Depreciation 5, 7 and 15-year personal property class lives qualifying portions of a building that are normally buried in 27.5 year residential or 39 year commercial categories.

When you depreciate that portion of the asset, you reduce your basis, and ultimately increase your future tax liability in exchange for the write off in the current year.1) What is your short/long term plan with the property? 

Only if you have a portion not used for anything else and you meet all other rules.

If you do not want to do this, you can purchase a property, or a portion of a property, that the fund has already selected.You must spend money to improve the property. ( I think it is a percentage of the gain you had)  You must hold the property for 10 years.Then, winner winner Chicken Dinner.