Montana 1031 Exchange Opportunities
What is a 1031 Exchange?
A 1031 exchange (1031x) of like kind property (real estate for real estate) permits deferral of capital gains and recapture tax. One of the more attractive features of a 1031x is that such gains can be deferred indefinitely if desired by the investor.
However, there are strict requirements on how the disposition proceeds are used, how they are tracked, and when they are reinvested. It also provides some challenges for members of a partnership who do not necessarily want to stick together on an exchange.
Wondering How 1031 Exchanges Work?
Just push play! Viewers can gain insight into the 1031x process by previewing a sample and learn about the benefits of working with a Qualified Intermediary.
The video also includes valuable information regarding the minimum property holding duration required for exchange qualification, as well as guidance on determining when a 1031x may not be the appropriate option.
Off-Market Opportunities
See on-market opportunities here. Some investors ask if there are off-market deals available. The short answer is, yes, however, these deals can be hard to find without tapping into the right network.
Often, sellers delay taking their property to market to perform property improvements or await maximally favorable market conditions to list their asset. But, some sellers are prepared to entertain off-market offers in the interim. SterlingCRE Advisors maintains a robust seller database and list of off-market properties that may be eligible for 1031 exchanges.
Ready to Look at 1031x Opportunities? Contact a SterlingCRE Expert
Claire Matten CCIM/SIOR
Expertise | Industrial
Ryan Springer
CCIM
Expertise | Office
Matt Mellott
CCIM/SIOR
Expertise | Multifamily
Connor McMahon
Expertise | Retail
SterlingCRE Advisors facilitated an owner's transition from an office building in Western Montana to self-storage ownership by listing the office asset in Missoula and scouting for state-wide self-storage opportunities. They helped find a suitable self-storage site that aligned with the owner's goals, allowing them to utilize the 1031 exchange mechanism to acquire the facility within the specified time frame after selling the Missoula asset.
A Montana couple sold their ranch and sought to diversify their investment portfolio with passive income opportunities. Using a 1031x, the SterlingCRE team helped them identify a selection of properties of various types, such as office and industrial, to balance the portfolio and provide steady, predictable income. Following SterlingCRE's investment advice, the couple has since focused on diversification and stability for their next real estate acquisition.
