What is a 1031 Exchange and How Does it Work?

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What is a 1031 Exchange and how does it work? 1031 Exchange is an IRC Tax code that allows you to defer capital gains tax until a later date by taking the proceeds from your secondary rental property and re investing them into a similar or greater property instead of paying capital gain taxes, it's how investors start with a small property and eventually move up to much lager scale real estate investment ie: apartment complex etc. .

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