Julia Vakulenko

Featured properties: See ALL

SUN CITY CENTER, FL

343 SIENA VISTA PL, SUN CITY CENTER listing
  • $279,000
  • 2 Beds
  • 2 Baths
  • 1,966 Sq.Ft.

details Details

save Save

map Map

Tampa4U.com

Newest listings

MLS# T2859904

This well-maintained home features an Open Floor Plan. The guest bedroom greets you as you enter your new home, complete with the nearby bathroom. The Great room area is spacious and open. Must seeā€¦.
Visit this property in SUN CITY CENTER: 2004 GARDENIA LANDINGS LN, SUN CITY CENTER

MLS# T2859935

As you walk in the warm wood floor greet you and invite you in. The lines are clean and custom window treatments and draperies compliment the picturesque windows. The dock is commercial grade with aluminum boat cradle and new dock and cap. The...
Visit this property in NORTH REDINGTON BEACH: 17387 KENNEDY DR, NORTH REDINGTON BEACH

MLS# T2859864

NEW Interior and Exterior Paint. Located close to shopping,golf course,close to major roadways for easy access to airport and beaches. Inventory is Rapidly disappearing don't miss this fabulous value. This home is a rare find in a highly desirable...
Visit this property in TAMPA: 4604 FARMHOUSE DR, TAMPA

MLS# T2859943

Total luxury in this gorgeous Villa Home located in the heart of all that the area has to offer. 3 spacious bedrooms plus a den for the home office worker. A fenced back yard offers room for a dog and a nice sized screened in patio, plenty of room...
Visit this property in HOLIDAY: 2260 PARROT FISH DR, HOLIDAY


Tampa4U.com


Tampa Investment Info
Commercial Real Estate
Commercial Search
Income Producing Search
   

Save money with a 1031

How would you like to save thousands and not pay Capital Gain Taxes on the sale of Real Estate? If you answered "YES", then read on and contact us when you're ready.

What is a "1031 Exchange" aka "Like Kind Property Exchange"?

Sometimes referred to as a "Starker Trust", a 1031 Exchange is a transaction in which an owner of property held for investment is allowed to sell one or more properties and purchases one or more properties without a tax consequence. It is the best strategy for the deferral of capital gains tax that would ordinarily arise from the sale of Real Estate. Real Estate owners can accomplish almost any investment objective with 1031 Exchanges including greater leverage, diversification, improved cash flow, geographic relocation, and/or property consolidation.

How does an Exchange work?

An Exchange is usually a 3 way Exchange in which an intermediary is used to facilitate the transaction. Four things ordinarily occur in an exchange:

  • The seller sells the relinquished property. At closing the sale proceeds go to a Qualified Intermediary where the funds are held in a trust account "For Benefit Of" the exchanger.
  • The seller identifies replacement properties within 45 days of the closing of the relinquished property.
  • The seller (now the buyer) closes on the replacement property(ies) within 180 days of closing on the relinquished property and the funds are wired from the "FBO trust account" by the intermediary to the closing agent.

Why would I want to be involved in an Exchange?

Do you own "management intensive" Real Estate? Or perhaps you own property you purchased or inherited years ago and would prefer another property. You have probably realized good returns on investment that will otherwise be lost to the IRS. The sale of every property is a potential tax event with the tax consequence being realized after the closing of the property. Section 1031 was written into the Internal Revenue Code in the 1920's. The IRS realizes that your investment in Real Estate spurs the economy onward, however upon the sale of the property, any profit realized from appreciation must be reported, and is taxed at 20%. The depreciation you have been enjoying will be taxed at 25%. If you own passive investment property (raw land for example) you may have enough profit to invest to generate a cash flow by purchasing an income producing property.

What qualifies as "Like Kind" Property?

You can exchange any Real Estate investment for any other type of Real Estate investment - for example, vacant land can be exchanged for a warehouse, an office building for an apartment complex, or a vacation home, an orange grove, a golf course, horse ranch, whatever. As long as the property being sold is not a primary residence, and there is a tax liability to selling, an Exchange should be considered.


DO'S AND DON'TS of 1031 Tax Deferred Exchanges

Do plan in advance for the exchange. The Qualified Intermediary cannot have a fiduciary relationship with the exchanger; therefore the QI cannot give legal or tax advice. The QI does consult with the exchanger, as well as the exchanger's CPA, accountant, attorney, broker, financial planner, and lender.

Do attempt to sell before you purchase. Occasionally exchangers find the ideal replacement property before the relinquished property is sold. In this situation a "Reverse Exchange" may be necessary. We are happy to discuss Reverse, Build To Suit, and Improvement Exchanges.

Do remember these basic rules. To qualify for a complete tax deferral use all proceeds from the relinquished property to purchase the replacement property. Make sure the debt on the replacement property is equal to or greater than the debt on the relinquished property. An exception occurs when a reduction in equity cannot be offset by increasing debt. And finally, receive on Like Kind" property. Real Estate cannot be exchanged for jewelry, stocks, mutual funds, etc.

Don't plan to sell and invest the funds in property you already own. Funds applied toward property already owned are considered "Goods and Services", not "Like Kind" properties.

Don't change the manner of holding title during the exchange, or dissolve partnerships. A change in the exchanger's legal relationship to the property will jeopardize the Exchange. Maintaining "Continuity of Title" is critical to the Exchange.

Don't miss the identification period (45 days) or the closing date (180 days). A reputable Qualified Intermediary will not act on back dated information or late identifications, and the IRS is unforgiving on such matters.

Do contact Real Estate Exchange Services regarding trusts, corporations, partnerships, option money, seller financing, personal property included in the sale, farm and ranch property, multiple units with one side owner occupied.

Remember! Exchanges must be reported in the tax year that the relinquished property was closed, regardless of the tax year the acquisition property was closed.

 


Tampa Real Estate | Tampa Luxury Homes | Tampa Home Search | Tampa Condos | Tampa MLS Search | Tampa MLS Listings | Tampa Investment Properties | Tampa Commercial Real Estate | South Tampa Real Estate | Tampa Area Homes | Tampa Blogs | Apollo Beach | Brandon | Valrico | Wesley Chapel | Tampa Homes | Mira Bay | Fish Hawk Ranch | Westchase | Riverview | Carrollwood | Seven Oaks | Tampa Realtor |