1031 Tax-Deferred Exchange Benefits in Boise, Idaho

Also known as the best-kept secret in the U.S. tax code, a 1031 Tax-Deferred Exchange is leveraged to defer paying capital gains on one investment property when an investor almost immediately repurchases another like-kind property. While the name may make the process sound complicated, 1031 exchanges are much simpler than most people think.

But did you know that 1031 exchanges are more favorable in some states? It’s true, and Boise, Idaho is an investor’s dream when it comes to this type of transaction. Let’s take a closer look at why 1031 exchanges are so popular in Idaho.

In Boise, the biggest driver for engaging in a 1031 exchange is the fact that Idaho is one of the most landlord-friendly states in the country. We also have a high-quality, long-term tenant base where evictions are rare, vacancy rates are below 1%, and there are very few regulations regarding how an investor can conduct business as a landlord–no rent controls, no random code violation inspections, and no government intrusion. 

Additionally, Limited Liability Companies (LLCs; commonly used to take title in real estate transactions) only incur a one-time $100 fee with no renewal fees.

It’s especially advantageous for out-of-state real estate investors to move their properties, profits from a sale, and equity to Boise, Idaho, because this can be done tax-free using a 1031 exchange. By leveraging a 1031 exchange, investors are able to continue to roll their equity from property to property and delay paying capital gains indefinitely. We also guide our Boise clients through what’s called a ”Reverse 1031 Exchange” that allows our investors to buy their new property first, then sell a subject property at a later date.

Because we specialize in real estate investing and are investors ourselves (and our clients love that we “walk the investment talk”), Boise Turnkey Properties is uniquely positioned to guide new and seasoned investors on their 1031 exchange journeys. But, we take it a step further–1031 exchanges are specialized, so our team at Boise Turnkey Properties partners with a local 1031 exchange provider to ensure that the process smooth and stress-free for our investor clients.

If you have out-of-state investments and are looking to move your portfolio, profits, and equity to Idaho tax-free, contact our team at Boise Turnkey Properties today. We would be honored to personally welcome you to one of the most landlord-friendly states in the nation. Call us today at (208) 957-0870, email us at corby@boiseturnkey.com, or fill out the form below.