1031 Tax Deferred Exchanges

Millennium Realty Group has over a decade of experience consulting with investment property owners and assisting them in deferring the capital gains on the sale of their investment property. Millennium Realty Group provides the support and resources to minimize each investor’s tax liability while at the same time preserving their equity.

What is a 1031 Tax-Deferred Exchange?

Section 1031 Exchange is one of the oldest standing tax laws in the country.  This section of the internal revenue code was first introduced in 1921 allowing owners of investment property to defer the payment of capital gains associated with the sale of these properties. This procedure involves a series of rules and regulations that must be met in order to fully defer all the capital gains. In order to meet all the provisions of the code investors will use the services of a qualified intermediary

Although Millennium Realty Group is not a qualified intermediary, we will assist you in locating the best companies that provide these services along with a complete list of references. Then we will work closely with the qualified intermediary to make the 1031 exchange process as smooth and easy as possible.

What are the Advantages of a 1031 Exchange?

Tax Savings:  By doing a 1031 exchange you are able to defer the payment of federal and state capital gains taxes that are usually associated with the sale of investment property. This legal procedure allows you to preserve your hard-earned equity and reinvest those gains. The result is that more of your money is working for you and not going to the government.

Management Relief:  In the last several years, many of our clients have decided to consolidate their real estate holdings and exchange the proceeds into a professionally managed portfolio. This allows our clients to reduce the stress associated with actively managing properties and move into a passive income role. Millennium Realty Group will be able to help you find these passive income opportunities that meet your income and risk tolerance needs.

Income:  Many times when our staff first reviews the real estate portfolios of our clients we find that they are holding onto properties that are not providing the income that our clients want or need. Millennium Realty Group can help sell those underperforming properties, and then find properties that better meet the income needs of our clients.

Diversification: In these changing times one way to decrease risk is to diversify and one way to diversify is by exchanging into properties located in different regions of the country. Another diversification strategy is acquiring different  types of real estate. One example of this is exchanging single family residential properties into commercial and industrial holdings. Millennium Realty Group will work closely with you to provide you with all the opportunities and possibilities that meet your specific needs.

Millennium Realty Group works closely with all your existing advisors such as your attorney and CPA.