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Synergy Investment Group, LLC
Arriba Investment and Exchange Corp. is licensed in Pittsburgh, Ohio and New Jersey.
Securities and advisory services are offered through Synergy Investment Group, LLC.
Commercial Office
Retail Shopping Center
Multi-Family Rental Self-Storage
Industrial Facilities Raw Land
Reasons to consider the 1031 exchange process.
Exchange from non-income producing property to one with
positive cash flow
Exchange from a property with maximized or minimal cash
flow to a higher cash flow
Exchange from fully depreciated property to a higher value
property with new depreciation
Exchange from a property that cannot be financed to one that can be
Exchange from a slow growing region to a faster growing region
Geographical diversification or diversification by type
Lifestyle change or desire for institutional management of property
Risks to be aware of when using the process.
1031 exchanges through a TIC interest is a structured investment
based on IRS Rev Proc 2002-02.
A change in the tax law or interpretation could have an unknown
adverse effect.
TIC interests are direct investments in real estate and share the
risks associated with owning real estate, including market cycles
and local and national economic risk, in addition to illiquidity, and
risk of loss of the entire investment.
Commissions, fees and expenses involved may outweigh the
benefits of tax deferral.
The value of the unites in the tenant—in-common will fluctuate with
the underlying real estate property.
Units may be sold at a price which may be more or less than the
original price paid for the units by the investor.
Requirements that must be met to use the process.
Exchanger must acquire like property and cannot take constructive
receipt of cash unless boot is paid. The use of a Qualified
Intermediary is used to accomplish compliance.
Exchanger has 45 days from the close of the sale to identify to the
QI the potential replacement property.
Exchanger must purchase the replacement property within 180 days
of the sale of the relinquished property.
Exchange paperwork must be used prior to the sale of the
relinquished property, and preferable in the sales agreement.
Arriba Investment and Exchange Corp.
Specialties and Asset Classes:
1031 Exchanges
Tenants in Commons, TICs
Real Estate Investment Trusts
This is not an offer to sell, nor a solicitation of an offer to buy any security. Such offers can only be made with a Confidential Private Placement Memorandum. Past performance is no guarantee of future results. The direct or indirect purchase of real estate involves significant risk, including illiquidity, risk of loss of the entire investment and are not suitable for most investors. Please refer to the "risk factors" section of the specific Private Placement Memorandum. Commissions and expenses in real estate or real estate securities may outweigh any potential tax benefits. The photographs above are provided solely for illustrative purposes and are not of available offerings. There are a number of significant tax risks and tax issues involved with the purchase of real property. Investors should consult with their own tax advisors and legal counsel.
ARRIBA INVESTMENT
AND EXCHANGE CORP.
Investments through Synergy Investment Group, LLC
Member FINRA/SIPC Pittsburgh Branch
With Arriba Investment and Exchange Corp., offered through Synergy Investment Group, LLC, we specialize in 1031 Tax Deferred Real Estate Exchanges.
There are many reasons to consider this type of transaction, as well as risks. The requirements can appear to be complex and intimidating, but with our help, it doesn't have to be. Contact us for a no-obligation consultation.
A 1031 Tax Deferred Real Estate Exchange is a transaction in which a taxpayer sells one property and purchases another or interest in a TIC (tenant in common), while deferring the capital gain and the tax on depreciation recapture. The Internal Revenue Service views this as a continuation of the original investment. IRS Section 1031 provides for the exchange of like kind property and has recently broadened the definition.
A 1031 exchange can include moving into or out of the following types of properties individually or in combination:
How can you defer capital gain and taxes on depreciation recapture in real estate?
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This page was last updated: October 31, 2011
Investment Property Exchange Services, Inc.
Investment Property Exchange Services, Inc.
Any discussion of taxes herein is for general information purposes only and does not purport to be complete or cover every situation. You should consult with your legal and tax advisers regarding your particular facts and circumstances.