CalculateRealEstateROI

Tax

Opportunity Zone Strategy

Rolling capital gains into QOFs targeting designated tracts for deferred + eliminated future gain.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Core concepts

10-year hold

QOF appreciation tax-free after decade.

Substantial improvement

Must double basis within 30 months.

Examples

  • $1M gain → QOF → $3M property in OZ → $4M sale tax-free in 2034.

Practical applications

  • Investors with concentrated capital gains.
  • Long-horizon developers.

Common mistakes

  • Buying weak OZ deals for the tax break alone.
  • Missing improvement deadline.