The intent of 1031 was not to let passive investors get out of taxes. 

Our team along with clients all are heavily investing in the area, and it is a strong place to start. close proximity to New York and New Jersey, paired with extremely affordable property/taxes and high rental demand make it on most people's radar.  

Taking a break from working on our 2024 bookkeeping and taxes. 

If you're using Zillow or the tax district or almost any public facing website, I always question how good the comps are.   

According to our understanding:1) California does not recognize REP status, but we could claim it on our federal taxes, is this correct ?

- Look into if property taxes are reassessed after purchase.

The single biggest advantage of selling your homestead is that you can take all the Cap gain tax free if you have lived in the home as your homestead for 2 of the last 5 years. 

Sometimes hard to find this happy medium in rate sheets, though.Another consideration would be taxes - points are typically treated as interest, so if your tax obligations are high this year vs being higher in the future, then this could also impact buying down now vs paying a little more in interest in future years. 

Hi @Damon Diddit I would avoid Newark at all costs. 

I've done it at times, sometimes 6 figures, but always do it so that there's no tax burden on my recipient.