The 3 Property Rule limits the total (aggregate) number of like-kind replacement properties that you can identify to three (3) potential like-kind replacement properties. The vast majority of Investors today use this three (3) property identification rule.
Ensure that you have this accurate and certified business information to supply to your mortgage broker when applying for a loan.
Assemble these necessary details in order to simplify the pre-approval process for exchange-focused loans.
Collect at least 3 years of tax returns (personal and business) in order to establish a record of IRS compliance and financial responsibility in order to improve the terms of the Qualified Mortgage for which you are approved.
Consolidate your property’s revenue and expense records for your lender into a profit and loss report as proof of management competence in order to lower your perceived liability.
With a 1031 Exchange, investors can offset the liability of loan interest by borrowing to upscale your investment portfolio into an exponentially more profitable entity.
Learn the basics of equity-based borrowing in order to take advantage of loan opportunities during the 1031 Exchange process.
Take advantage of one of these key moments during the 1031 Exchange process in order to acquire a new property with the highest earning potential for your investment portfolio.
Follow these guidelines in order to maximize the profitability of your 1031 Exchange by taking advantage of custom financing opportunities available through Plenti Financial.
Use financing to overturn the disadvantages of low liquidity in order to upscale your investment portfolio through a 1031 Exchange.
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Plenti Financial™ is a trade name of 1031 Exchange Advantage®. 1031 Exchange Advantage™ is a trade name of 1031 EA, LLC and is not a licensed broker. 1031 EA, LLC is a division of Plenti Financial and is the accommodator for a 1031 Exchange as required by the IRS. 1031 EA, LLC does not provide, brokerage, legal or accounting services and is simply a Qualified Intermediary under the IRS code. It therefore is not providing any services other than accommodation services and clients and prospects are advised to confirm all tax, legal, accounting and real estate investment decisions with their professionals such as their accountant or attorney.
A 1031 exchange is a method of tax deferral upon the sale of investment real estate. However, the decision to pay or not pay accumulated and/or deferred taxes is up to the taxpayer, who has control over whether transactions are completed tax-deferred, or tax-free! If an exchanger should decide to continue exchanging into investment property of same or greater value for life, and never sell investment property without utilizing a 1031 exchange, no taxes would be due on any transactions, making them tax-free! Even in the event the taxpayer dies, the taxes die with him, again making the transactions tax-free! Because the choice is up to the taxpayer, we like to say taxes in an exchange are deferred, unless you choose to sell tax-free with Plenti Financial!
