1031 Exchange

**chrishummel** · 04-12-2007, 05:26 PM

A couple people asks questions about 1031 Exchange...

Defer profit on real estate transactions

http://www.hummelcompanies.com/1031_exchange.php

Hope this helps

**Real_Estate_Agent** · 04-30-2007, 05:19 PM

Hello Chris,

I like your 1031 Exchange information on your website.

Sincerely,

**AlexandraRE** · 05-28-2007, 10:30 PM

I read the 1031 info on your website and I have a question about the waiting period. Is it mandatory that you own the property for one year before you can quality for the 1031 tax deferred exchange? If so, do you know why?

**wexeter** · 11-09-2008, 07:45 PM

No, there is no mandatory holding period for 1031 exchange properties. The key is that you must have the intent to hold your properties for investment. You would have to prove your intent to hold for investment should you get audited. This is why many advisors recommend a holding period of at least 12 months so that you can prove you had the intent to hold. 12 months straddles two tax years so that you have filed two tax returns, etc. The more conservative advisors recommend 24 months. It all depends on what your intent is.

**wexeter** · 11-09-2008, 07:47 PM

This is a follow-up to my previous post. You might want to review this post that goes into much more detail regarding the holding periods and related information.