Need Help And Advice On 1031 Exchange
I want to sell an rental home and buy another. I understand the 1031 exchange. Here is my questions. After I do the 1031 exchange, is there a time limit I must rent out the house? I.E. Say I decide to move into the new investment property 2 months after the 1031 exchange is completed and make it my primary home. Is this ok to do? Need some advice. Thank you.
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Here is an article on Holding Requirements:
http://comm.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=572&mode=thread&order=1&thold=-1
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Thank you for that link. I appreciate it very much. It answered the questions I had.
Yes, there is a time limit. However, it's not clearly spelled out, relies mostly on previous case law. I've heard 1-3 years being recommended with 2 years as the most common answer. Weigh your risks. If the gain is substantial, would it be worth paying taxes on it just to move in earlier?