The Three Types of 1031 Exchange Transactions
What are the three types of 1031 Exchange transactions?
When people think of a 1031 Exchange, they may not realize there are three structures to choose from. The three structures include the Forward 1031 Exchange, Reverse 1031 Exchange and Improvement 1031 Exchange.
The most common structure is known as a Forward 1031 Exchange. In this transaction, you sell your existing property first and then purchase your replacement property later. In a Reverse 1031 Exchange, you purchase your replacement property first and then you sell your existing property later. In the Improvement 1031 Exchange, you sell your existing property and purchase a new property, with some of the proceeds used to make improvements on the new property. Not only can you 1031 Exchange real property, you can also 1031 Exchange personal property such as franchise agreements, livestock, airplanes, a fleet of vehicles, artwork, and much much more.
1031 Exchanges are complex, that's why you need an expert! Call Exeter 1031! 1-619-239-3091 or visit http://www.exeterco.com
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