https://forusers.org/ Community questions, answered and written up as clear, readable guides. en-us https://forusers.org/eb62455d-1031-exchange-rules/ https://forusers.org/eb62455d-1031-exchange-rules/ Fri, 14 Aug 2026 17:01:57 +0000 1031 exchange 1031 exchange rules like-kind property qualified intermediary A 1031 exchange lets real estate investors defer capital gains taxes when selling an investment property by reinvesting the proceeds into another like-kind investment property. It applies only to investment real estate, never a primary residence. The main payoff is long-term portfolio growth, since keeping equity invested lets it keep compounding. The rules are specific. You must use a Qualified Intermediary who holds the sale funds, because you are not allowed to touch the proceeds yourself, an https://forusers.org/b17fd91a-1031-exchange-tax-implications/ https://forusers.org/b17fd91a-1031-exchange-tax-implications/ Fri, 14 Aug 2026 16:02:22 +0000 1031 exchange 1031 exchange tax implications capital gains deferral depreciation recapture A 1031 exchange defers capital gains tax on the sale of investment property by reinvesting the proceeds into a like-kind property, but it only postpones the tax rather than eliminating it. The gain carries over into the replacement property, so the bill comes due when you eventually sell without doing another exchange. Users describe it as kicking the tax down the road. Two outcomes shape the long term picture. When you finally sell a property that has been part of an exchange and do not roll in