1031 SWAP Condo for Farm?

As I mentioned at my BLOG at
http://activerain.com/blogsview/1-31-Pure-Possibility-2-?14019
a beginning ECO “Green” investor and I were talking
about the pros and cons of the 1031 Like Kind Exchange.
(Good info on the 1031 is available at NAR:
http://www.realtor.org/libweb.nsf/pages/fg408 )
She had heard "by the grapevine" and mistakenly believed that
she absolutely had to acquire property exactly like her relinquished property.

I discoverd this as we started to scope out her property options,
and we talked about what they could be.
She confessed that she had been distressed
about how she was going to find an exact match.

She really was quite thrilled to learn a wide variety of properties
can be considered Like-Kind. So contrary to her concerns,
investors DO have a latitude and even an intriguing perspective
from which to make choices under the 1031 Exchange Plan.

We use a survey we created to get to the details:
http://www.janeanne.com/survey.asp
“Think of it this way,” I assured her,
“Like-Kind does NOT refer to the nature,character, or type of property. …
it’s all about the intended use of the property.”

Here are some examples:

* A Professional office in Manhattan for a Mountain cabin with Views and land that you could lease in a town near Asheville.

* A Condo in California for Unimproved Land with a Waterfall in the Asheville area

* A Single family rental in Chicago for multi family rental in West Asheville

* Non income providing raw land in Florida for income producing rental property in the beautiful Appalachians of Western North Carolina

* An apartment building in downtown Detroit for an office building in Up-and-coming Mars Hill, North Carolina

SO! Provided the property is initially acquired and held for either business or investment purposes, it can qualify as a suitable replacement property under IRC Section 1031.

Also, real properties generally are of a Like-Kind,
regardless of whether the properties are improved or unimproved.

TOTALLY TRUE: ECO Investors do NOT have to exchange
for exactly the same type of property.

CAUTION: The Section 1031 Code was amended in 1989
rendering property outside the United States NON “Like Kind”.

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www.Asheville1031Realty.com