An exchange must involve like-kind property, such as investment property for investment property.
A primary residence is held for personal use, not for the production of income (investment use); and therefore, does not qualify to participate in a 1031 exchange.
Dave is right on the money, however, you could sell your existing property, do a 1031 exchange by acquiring a replacement property that you INTEND to rent and actually rent it for a couple of years and then convert it to your primary residence. The key is that you must have the actual bonafide INTENT to hold the property for investment, income production or use in a trade or business, and the longer you hold it as such the safer you are.
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Short answer is NO.
An exchange must involve like-kind property, such as investment property for investment property.
A primary residence is held for personal use, not for the production of income (investment use); and therefore, does not qualify to participate in a 1031 exchange.
Dave is right on the money, however, you could sell your existing property, do a 1031 exchange by acquiring a replacement property that you INTEND to rent and actually rent it for a couple of years and then convert it to your primary residence. The key is that you must have the actual bonafide INTENT to hold the property for investment, income production or use in a trade or business, and the longer you hold it as such the safer you are.
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