A 1031 Exchange is a powerful tool for investors. It allows you to defer capital gains taxes by reinvesting the proceeds from the sale of one property into another. Key benefits include:
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Tax Deferral: Postpone capital gains taxes, preserving more of your investment capital.
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Portfolio Diversification: Exchange into different property types or locations to diversify your real estate portfolio.
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Increased Cash Flow: Upgrade your properties for better income potential without immediate tax consequences.