Discounted Note as 1031 Replacement? - Posted by Dazed and Confused

Real Estate Investing Real Estate Law
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Posted by Mike W - LV on April 15, 2005 at 24:25:31:

If your proceeds are from the sale of ‘Real Estate’ i.e. Real Property, then you CAN buy any other Real Property. The discounted note is personal property, not Real Estate. If its not Like-Kind, then it does not qualify and you will pay taxes on your profits as if its a normal sale.

Hope this helps.

Michael

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Discounted Note as 1031 Replacement? - Posted by Dazed and Confused

Posted by Dazed and Confused on April 14, 2005 at 20:24:52:

Another 1031 question (I hate paying taxes).

Can I buy a discounted note with funds from a 1031 exchange from a rental property?

It’s not exactly “like kind” but it IS investment “property”.

Thanks,
Dazed

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Re: Discounted Note as 1031 Replacement? - Posted by William L Exeter

Posted by William L Exeter on April 17, 2005 at 23:33:19:

Mike is right on the money. It is not a real property interest and does not qualify for like kind exchange treatment.