Looking to 1031 exchange a rental property. Anyone heard reviews of e1031xchange? Good or bad.

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I have by no means done it myself to start out. I have however done personal due diligence on it as it seems really intriguing, and a great loop hole to build wealth which I plan to take advantage of.

1. Technically a person could do this 1031 exchange all their life and have their assets in a trust with the beneficiaries being your kids/family and upon death, you can pass it onto them with no capital gains tax due to the "Stepped-up Basis," (Gains disappear upon taxpayer death). I say technically because 1031 exchange is tax-deferred, not tax free.

2. More mid-long term, I personally plan on using it to to get into one bigger property out of my starter home then hopefully, use the 1031 exchange again to get into an apartment complex for great cash flow to support another primary residence.

3. The caveat to a 1031 exchange is unlike a straight real estate sale, a 1031 exchange involves much more complexity, including meeting timing and other regulations. Upon sale, you have 45 days to identify the next "like-kind" property and 180 days to close both from the date of original sale - so you'll have to be efficient. The IRS requires that the seller not directly receive the funds from the transaction, which calls for a qualified intermediary to be involved. The role of the intermediary is to receive the funds from the transaction and acquire the replacement property. Beyond this complexity, there are costs associated with the intermediary and their services.

Open to hear other folks experience and thoughts!

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