If you’ve been a regular follower, you know that one of my major 2020 undertakings was the completion of a massive 1031 exchange. I sold three properties, then bought three new properties. This process allowed me to defer all capital gains from my sales, plus improve my cash flow by around $1,500 per month.
I completed this process in late October 2020, and now I’m ready to share some details about my experience. Because this is such a massive topic, I’ve decided to break up the talking points into separate articles and group them together as a blog series. Hopefully this will make things easier to digest for you, dear reader, and also make it easier for me to put together.
In Part 1 of the series, I outlined some basics about 1031 exchanges. If you missed it and aren’t knowledgeable about 1031 exchanges, check it out before continuing on.
In Part 2, I outlined the following:
- The market conditions of the middle of 2020 and why it was the perfect time to sell
- A definition and discussion about the Return on Equity % metric
- How and why I decided which properties to sell
In Part 3, I'll summarize what it was like to sell 3 properties as part of a 1031 exchange.