Like-kind exchanges are often a misunderstood topic in the 1031 exchange world. As the market continues to improve it seems that many investors have the desire to exchange into a different form of real estate investment. This leads us to the question: What are like-kind properties?

Commonly Asked Questions

If you’re interested in like-kind exchanges then you likely have a lot of questions about how they work. Here’s some of the most commonly asked questions regarding like-kind property exchanges, and make sure to check out the full video for more details!

What is a like-kind investment property?

Like-kind refers to the nature of the investment. Any type of investment property can be exchanged for another type, or like-kind investment property. For example, a single-family rental can be exchanged for a duplex, raw land for a shopping center, an office for apartments. Any combination works and provides exchangors with great flexibility.

What type of investment property qualifies?

Any property held for productive use in trade or business or for investment can be exchanged for like-kind property. When exchanging real property the definition is very broad, though exchanges of “personal” property can be very tight.

Like-kind exchanges with a 1031 exchange can be a great tool for expanding your real estate investment portfolio. Watch the video or read the full transcript below to learn how the like-kind exchange works.

Read the Full Transcript

Got questions about like-kind exchange and what qualifies for an IRC section 1031 exchange? Give Equity Advantage a call today at 503-635-1031