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Expert Insights

1031 Exchange Blog

Advanced strategies, regulatory updates, and practical guidance from decades of facilitating tax-deferred exchanges.

Carryover Basis vs. Excess Basis: Why Your 1031 Replacement Property Needs Two Depreciation Schedules

When you buy a replacement property that costs more than what you sold, the basis has two distinct components — and they depreciate on completely different schedules. Getting this wrong is one of the most common 1031 tax return errors.

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Regulations

What Qualifies as "Real Property" After the 2020 Final Regulations?

The 2020 Final Regulations provide welcome clarity on what constitutes real property for Section 1031 purposes – and the definition is broader than many investors realize. From cell tower leaseholds to water rights, discover the opportunities.

February 28, 202612 min read

Tax Planning

Depreciation Recapture: The Hidden Tax in Your 1031 Exchange

You complete a textbook 1031 exchange, defer 100% of your capital gain, and still receive a tax bill. How? Section 1245 depreciation recapture. Learn how cost segregation and bonus depreciation interact with 1031 exchanges.

February 28, 20268 min read

9th Circuit

Contributing 1031 Exchange Property to an LLC: What the 9th Circuit Allows

Can you complete a 1031 exchange and then contribute the replacement property to your LLC? In the 9th Circuit, the answer is yes – thanks to Magneson v. Commissioner.

February 28, 20267 min read

Investment Structures

Delaware Statutory Trusts: A Passive 1031 Exchange Option

What is a DST? How does it work in a 1031 exchange? Can you convert a multi-member LLC into one? Learn about this increasingly popular replacement property option for investors seeking passive income and tax deferral.

March 25, 202610 min read

Case Law

Non-Safe Harbor Reverse Improvement Exchanges: The Bartell Decision

What if your reverse improvement exchange doesn't fit the 180-day safe harbor? The Tax Court's Bartell decision rejected the IRS's restrictive benefits-and-burdens test, providing significant flexibility for taxpayers.

February 28, 202610 min read

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Jeff shares practical 1031 exchange strategies, regulatory updates, and planning tips. No fluff — just useful guidance from decades of experience.