Discover the truth about the 1031 exchange. This episode tackles a common misconception: that it helps you avoid income tax. Brad Hovis and Drew McCabe explain the difference between capital gains tax and income tax. Learn the six essential rules for a successful exchange. Find out why this real estate strategy is a powerful tool for building wealth. Key Takeaways A 1031 exchange defers capital gains tax; it does not help you avoid income tax. Depreciation recapture is a tax that you must pay when you sell a property. The government incentivizes 1031 exchanges to stimulate economic activity. You must follow six specific rules to complete a 1031 exchange successfully. A qualified intermediary is required to hold funds during the exchange process. Resources & Links Mentioned Rebiz: PropStream: Connect with Us Website: www.realwealthformula.com Phone: 877-77-MOGUL Email: [email protected] Social Media Channels Facebook: Real Wealth Formula LinkedIn: Real Wealth Formula Instagram: @realwealthformula X: @realwealthshow TikTok: @realwealthformula YouTube: Real Wealth Formula

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