1031 Exchanges: How to Trade Up Without Paying Tax

A 1031 exchange lets you sell a rental property and roll the gain into a new (larger) property without paying capital-gains or depreciation-recapture tax — indefinitely.

The rules are strict: 45 days to identify replacement properties, 180 days to close, like-kind treatment, qualified intermediary required.

Most failed exchanges fail in the 45-day identification window. Have replacement candidates lined up before you list — not after.