Cathy Healthful, MD

"In our 20 year history we have never had a 1031 exchange collapse and we've not ever had any exchange mistakes", states Rusty Squire, Montana Qualified Intermediary and President of 1031 Property Exchange.  He adds,"We are proud of this track record and look forward to its disposition".

QUALIFIED ESCROW PROVIDER

1031 Property exchange has been partnered nationally with the potency of Axos Bank as a qualified escrow provider.  "We are very confident in our relationship with Axos and their capacity to provide our 1031 exchange customers with secure escrow providers throughout their trade".

"Using a Qualified Intermediary that functions in both capacities helps enhance your exchange transaction, resulting in a single point of authority for most transaction-related questions and alternatives", says Squire.  He adds,"Out of a few hundred trades performed we've had on customer ever split the responsibilities of qualified economists and qualified escrow".

"Staying within Internal Revenue Code exchange guidelines is complicated and involves a significant comprehension of IRC code, case law and current regulations", says Squire.  He adds,"Understanding ownership and the various legal entities used to establish that ownership is also very important".

"There are also complicated kinds of exchanges, for example bifurcations, where primary residences on larger tracts of land have been split between the Section 121 exclusion for main residence and 1031 trade", says Squire.  He adds,"These transactions will need to be carefully documented with regards to price basis and the feasibility of the sales price between main home and investment property, which is normally the excess property".

"The 1031 exchange is actually just a deferral of all taxes - Federal funding gains, State capital gains, ACA tax and depreciation recapture", says Squire.  He adds,"But all of this deferral can develop into a tax-free transfer when the lien expires assuming that their gross estate doesn't exceed the Federal Estate tax limits, which will be estates around $5.6 million in 2018".

"Your heirs get a step-up in cost basis to the value at date of death or 6 months after the date of death, meaning that if the entire estate is under $5.6 million there isn't any tax die", says Squire.  He adds,"This leaves the 1031 market one of the very extraordinary wealth building opportunities within the Internal Revenue Code".

LOCAL OFFICES, NATIONAL REACH

1031 Property Exchange has local offices in 1087 Stoneridge, Suite 2A in Bozeman, Montana however they play exchanges in all 50 States, along with Puerto Rico, Guam and the US Virgin Islands.  "We are not only a Montana 1031 exchange company, we are a national 1031 exchange firm", says Squire.

If you would like a free consultation regarding your 1031 exchange then simply call Licensed Intermediary Rusty Squire in 406-425-2742.

1031 Property Exchange has been in business for 2 decades and has performed hundreds of 1031 exchanges all around the United States.  This Montana qualified intermediary has additionally provided 1031 exchange continuing education classes to real estate agents throughout Montana and Wyoming.

"Exchanges are complicated financial transactions that induce investors to adhere to a complex set of rules in order to not cover any Federal capital profits, State capital gains, ACA and depreciation recapture taxes", says Rusty Squire, Qualified Intermediary.  He adds,"You're basically structuring a financial transaction following Internal Revenue Code guidelines in order to qualify the transaction for no taxation".

He adds,"Upon the death of the proprietor the heirs get a step up in cost basis to the date of death, or six months after the date of departure, and so long as the entire estate doesn't exceed 11.18 million subsequently your heirs wind up paying no more tax".

"1031 exchange is one of the most significant and most tax advantaged wealth building approaches available to real estate investors", says Squire.  He adds,"There are cases where larger landowners with a primary home can separate their land through a procedure called bifurcation and qualify for both the primary home exemption and 1031 exchange".

"There is a great deal of flexibility inside exchanges but the key is that sellers need to replace equivalent quantities of both debt and equity in replacment property in order to have a completely tax-deferred exchange", says Squire.  He adds,"Exchangors should also take advantage of a skilled intermeidary who does not behave in any other type of advisory capacity to the client, in other words, it can't be your attorney, accountant, realtor or another sort of advisor".

"The other important aspect is the exchangor canhave no constructive receipt, -i.e. control, over their trade profits during the exchange meaning they must use a qualified escrow", says Squire.  

"So many real estate agents, accountants and other advisors often confuse customers over exchanges because they do not understand the rules well", says Squire.  He adds,"The expression like-kind property is just one such example and all this signifies is that you must exchange from real estate to property provided that the real estate is held for business or investment purposes".

"1031 exchanges can also be used for business equipment, airplanes and vehicle fleets", says Squire.  He adds,"Many companies aren't aware of this great tax saving approach".

If you would like some help reviewing your prospective 1031 exchange transactions then only call Rusty Squire at 1031 Property Exchange in 406-425-2742. This Montana 1031 exchange firm has performed exchanges for two decades.