We’re fortunate to have an above-average income and live well below our means.This summer, we’ll be moving to Detroit (PCSing in August), and we’ve saved about $120,000 to invest in addition to having funds set aside for the home we’ll purchase in Detroit.The reason I’m posting is that I’m struggling to decide how to best allocate the $120k.

My budget is slightly constrained for this first property so looking to save on purchase price and hopefully add value through renovations.

If 1031 is to be implemented it must be done on the property level.2. 1031 generally does not apply to IRAs since they are tax-exempt. 3.

Because investing in NY real estate is a whole different game with taxes, regulations, and all that fun stuff.

There are less taxes in Alberta too.

The US Government and the States have but one way to deal with this, taxes.

Instead of shelling out $60K for a $250K deal, maybe some of you can help me figure out (or give referrals) to title companies, etc, or give overall advice how to save me money from this enormous financial endeavor (closing the deal).Thanks!

The landscape is just different than even the last 3 years with people making bad calls but getting saved by significant appreciation. 

Some Attorneys will provide you with the written step by step process on eviction and you can file all the paper work yourself ( this will save you some money) or you can have the Attorney do everything. 

So all of the gain and depreciation recapture are initially still tax deferred.However, like Joe said, the down side is later when sold  you lose the 1031 option. the client will pay tax on all gain and depreciation recaptured from before the 1031 also.