What is a '1031 exchange' (like-kind exchange) and can Delaware investment property owners use it?
Why A federal tax provision allowing investors to defer capital gains taxes by reinvesting the proceeds from the sale of investment property into like-kind replacement property Is Correct
Answer B: A federal tax provision allowing investors to defer capital gains taxes by reinvesting the proceeds from the sale of investment property into like-kind replacement property
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Key Terms to Know
A tax-deferred exchange allowing investors to sell one investment property and reinvest proceeds in a like-kind property while deferring capital gains taxes.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Short SaleA sale of real property where the sale proceeds are less than the outstanding mortgage balance, requiring lender approval.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
Math Concepts
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