1031 Tax-Deferred Exchange Benefits for Out-of-State Real Estate Investors in Boise, Idaho
Also known as the best-kept secret in the U.S. tax code, a 1031 Tax-Deferred Exchange is beneficial for leveraged to defer paying capital gains on one investment property when an investor almost immediately repurchases another like-kind property.
1031 Tax-Deferred Exchange in Boise, Idaho
If you’re already investing in real estate, you know this. But did you know that 1031 exchanges are more favorable in some states? It’s true, and Boise , Idaho is an investor’s dream when it comes to this type of transaction. Let’s take a closer look at why 1031 exchanges are so popular in Idaho.
In Boise, the biggest driver for engaging in a 1031 exchange is that Idaho is one of the most landlord-friendly states in the country. We also have a high-quality, long-term tenant base. In our base, evictions are rare, vacancy rates are below 1%. There are very few regulations regarding how an investor can conduct business as a landlord. For example, no rent controls, no random code violation inspections, and no government intrusion.
Additionally, Limited Liability Companies (LLCs; commonly used to take title in real estate transactions) are incredibly inexpensive. In fact, they only incur a one-time $100 fee with no renewal fees.
Out-of-State Real Estate Investors
It’s especially advantageous for out-of-state real estate investors to move their properties, profits from a sale, and equity to Boise, Idaho. By leveraging a 1031, out-of-state investors are able to continue to roll their equity from property to property and delay paying capital gains indefinitely. We also guide our investor clients through what’s called a ”Reverse 1031 Exchange”. This allows our clients to buy their new property first, then sell a subject property at a later date.
Boise Turnkey Properties is uniquely positioned to guide new and seasoned investors on their 1031 exchange journeys. This is because we specialize in real estate investing and are investors ourselves (and our clients love that we “walk the investment talk”). But, we take it a step further! 1031 exchanges are specialized, so our team at Boise Turnkey Properties partners with a local 1031 exchange provider. This relationship ensures that the process smooth and stress-free for our investor clients.
If you have out-of-state investments and are looking to move your portfolio, profits, and equity to Idaho tax-free, contact our team at Boise Turnkey Properties today. We would be honored to personally welcome you to one of the most landlord-friendly states in the nation. Call us today at (208) 957-0870 or email us at corby@boiseturnkey.com.
