As long as the total of whatever you purchase is equal to or greater than the net sale of your old property you'll defer all tax.  

I've performed a few 1031's and had to pay initial fees. Came across a website deferally.com and they claim to be totally free. Has anyone used them? Would like to know. Thanks! 

The financial benefits of a cost segregation study are realized through using increased cash flow to scale your business or strengthen your portfolio which is done by maximizing the net present value through deferring tax payments.As a reminder, bonus depreciation started to phase out in 2023.

Otherwise you would be giving you “partner” 1/2 your equity and 1/2 your deferred tax liability. 

If they did a 1031 exchange they will retaining a tax deferred status.

@Timothy Lin  The idea of the 1031 exchange benefit is to allow investors to use the capital gains tax they would otherwise have to pay when selling their investment property, And keep the profit from the deferred tax in their pocket.You get to indefinitely defer it into any type of real estate that that might meet your needs better. 

If you can capitalize on those early returns and recycle into another property with similar early trajectory, you will end with much more money over the same period of time.Of course, being able to harvest those gains and recycle in a tax deferred manner helps even more, so you may want to seek out syndicators that are able to offer 1031 exchanges on exit, which is definitely possible.

But if she holds on to the properties until death the heirs will still inherit at a stepped up basis - in other words any deferred tax goes away with her death.I'll reach out via pm and colleague request to give you more information

Under the current law, the taxes would be deferred until 12/31/2026 and ultimately due by 04/15/2027.

One year we did a cost segregation study on a newly purchased more expensive property to accelerate depreciation for a tax deferment.