Posted by Ronald * Starr on July 02, 2001 at 13:55:23:
Remember, to do a tax-deferred exchange, both the properties relinquished and those acquired must be for the production of income, held as an investment, or for use in a business. If you buy a property and sell it right away, you risk it being considered dealer property. And dealer property can not be exchanged in a 1031 exchange.
Now, if you have held these properties for rental purposes for a while, then you probably have shown your intent. Probably a couple of years is fine. However, please consult a tax accountant or tax attorney. I am neither.
Good Investing and Good RelaxingRon Starr*****