ReSure 1031 Exchange

When you sell appreciated real estate you generate federal & state taxable capital gains and depreciation recapture, which is taxed at higher rates. You may also incur Net Investment Income Tax (NIIT).

This results in a hefty tax bill – 20%-46% of your gain – disappointing in its own right.

However, there’s a much larger, hidden cost! The money you pay to cover the tax bill, 20%-46% of your proceeds once all federal and state income taxes are aggregated, is not available for reinvestment in your next real estate acquisition!

The impact of that is huge, as every dollar available for real estate investment gets multiplied 3-4 times by leverage. So every $10,000 lost to taxes represents $40,000 of lost buying power!

Over multiple real estate sales and acquisitions, this compounding has a wealth impact of 1,000s%, either negative or positive, depending on whether you utilized Section 1031 to your advantage.

Through a properly executed 1031 exchange, you can eliminate your tax bill for the sale of appreciated real estate and use your full sales proceeds towards down payment on your next property!

By following the detailed IRS guidance for real estate 1031 exchanges using a 1031 Qualified Intermediary (QI) to hold sales proceeds, you are treated as never having received those payments and are not taxed on them.

This is the most important decision you’re making for successful, stress-free, compliant 1031 Exchange Tax Deferral.

The 1031 QI has a multitude of rules to fulfill. Of course, the 1031 QI’s primary role is ensuring IRS regulations are scrupulously followed to shield you from income tax. Violations of strict IRS guidance in your exchange, or even in other 1031 exchanges facilitated by the QI, jeopardize the tax deferral outcome of your 1031.

Executing a compliant 1031 exchange involves many parties, requires highly specialized expertise and meticulous attention to detail – which can result in a stressful experience. Your QI should not only be an expert in IRS 1031 regulations, but should also have systems in place to manage your exchange effectively & efficiently to provide stress-free tax deferral, along with peace of mind.

Aside from the specialized knowledge for executing a 1031 Exchange, your QI should also have expertise in real estate taxation & investing. A successful 1031 exchange is one that fits into your overall real estate investing financial & tax strategy, and it takes general real estate tax expertise to guide you to that result – knowledge going well-beyond 1031 exchange regulations.

At ReSure, we understand that tax liability, tax compliance, & tax strategy can be anxiety inducing and leave folks wondering how to navigate all that smartly & securely. ReSure appreciates that you may have many questions:

• Is a 1031 Exchange right for me?
• How much taxes will I save with a 1031 exchange?
• What are the IRS rules for 1031 exchanges?
• Can I trust my 1031 QI to give me objective & unbiased info?

ReSure has a documented history of delivering comprehensive real estate tax solutions – expertly and with integrity, with incredible attention to detail. You can initiate your 1031 exchange through ReSure with confidence and security, knowing that you’re understood and we’ll cover all the bases with you.