Can I sell my investment property and then buy a house that I would like to live in?

In order to properly do a 1031 exchange, both your Old Property and your New Property have to be held for investment. This means that in most situations you would have to hold the New Property as investment property for at least a year and a day. Once this period has expired, you may do with it as you wish, including moving into it as your personal residence.

	Thanx for this Tee-Shot! I have an investment listed for sale right now and want to buy (1031) a vacation home to eventually move into [see: 1031 vacation home update: May 2007]. This helped a lot! Chris Griffith, ABR, Realtor Your Bonita Springs Agent! Prudential Florida WCI Realty, Inc.

TEE-Shots are Tips from the Exchange Experts that are designed to make you think about, and ask questions about, the 1031 exchange process.