HELP With 1031 Exchange.......???

--------------------------------------------------------------------------------
Hi , I bought an empty lot in Signal Hill Ca for 180k, I had to pull out 60k from my current house to make the down.

I am a Contractor and was going to build the properties but my business is waaay too busy at this time to build so I put the property up for sale for 280k

and I am currently in escrow. I am looking for an easy way to get the most $$ back from the transaction and still pay my 2nd back on my house.

My realtor has told me that I cannot use the $$ to pay my second back or I will have to pay capitol gains on it.

Is there another way around this so that I can pay the second back then put the 100k into something else?

Thanks soo much for your help

Comments(2)

  • OnTheWater7th November, 2003

    Hello,

    I may have an answer.

    When you sell this property, you'll need to buy another of "like value." You then refi that second property to get your money out.

    Thanks,

    OnTheWater

  • GFous10th November, 2003

    Suggest you get tax advice from a tax man, not your Realtor. Capital gains tax is only 15% anyway.

    How long did you own the property and do you do this normally in your business ( buy and sell Lots) These factors may effect your tax position.

    Did you by the lot in your name or your company?



    _________________
    Gregg Fous
    Investor/Developer

    "If you wait for all your ducks to get lined up, you will never get into the water"

    [ Edited by GFous on Date 11/10/2003 ][ Edited by GFous on Date 11/10/2003 ]

Add Comment

Login To Comment