Superlative Info

By Randy Ngan

1031 Exchange:

• Allow real estate investor to defer taxes and allow them to buy more real estate.
• No capital gain tax when property sold and all the capital gain is reinvested into new property.
• Use a 1031 when you plan on selling property after having a renter in it
• 1031 defers not eliminate taxes
• Save 30% off tax by deferring tax when selling house to reinvest
• Biggest mistake on 1031 is when investor sell property and close escrow then call about doing 1031. Need to do 1031 before you close escrow
• 3 Requirements for 1031 Exchange:
  1. Must be a business
  2. Must have been investment property that was rented out
  3. Must transfer 30% IRS Tax balance to like kind property

1031 firm:

• Ipx1031.com
• No concentration fee
• 500-1500 transaction fee rate if done
• You can do reverse 1031 buy property 1^st then sell
• They can not give tax advice but can consult with your tax adviser

• Should have good tax adviser ( its not payment its amount of saving)
• California property tax 10.3%
• Work on business not in business