The most common of 1031 Exchange’s is used for real estate investment or business property that is to be sold. Real Estate Exchange’s use like-kind real property which is any property not used as a principal residence or second home. Below are a few of examples of what would qualify as like-kind real property exchange:
- Sell - Duplex
- Sell - Rental House
- Sell - Business Building
- Buy - Shopping Center
- Buy - Vacant Land with intention of developing
- Buy - Farm Property used for income
These would all fall into the Real Estate Exchange category as they are all like-kind.