If your 1031 exchange fails, you could explore a quality opportunity zone investment to defer tax recognition until 12-26-2026 (with 10% potentially forgiven).
A Qualified Opportunity Zone is not as good as 1031 exchange because the deferral isn’t indefinite. However, it can be a good choice if your exchange fails and you have no other options.
Questions to Ask
How much debt did they have?
How low was their Current adjusted basis?
If you don’t have MOB (MTG over Basis), then QOZ fund may work because they must reinvest the amount of the gain (which can exceed the amount of proceeds).
Contact CPEC1031
Contact CPEC1031, LLC today to learn more about 1031 exchanges and qualified opportunity zones. Our qualified intermediaries have two decades of experience facilitating exchanges of real property. Contact us today at our downtown Minneapolis office to get started!
Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.
Defer the tax. Maximize your gain.
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