Recent Calculations
This 1031 Exchange calculator will estimate the taxable impact of your proposed sale and purchase. To pay no tax when executing a 1031 Exchange, you must purchase at least as much as you sell (Net Sale) AND you must use all of the cash received (Net Cash Received). If you take cash out and/or you purchase less than you sell, it is considered recognized gain and will be taxed. By changing any value in the following form fields, calculated values are immediately provided for displayed output values.
Date the investment real estate will be sold.
Date the purchase of the replacement property(ies) will take place. Exchange must be completed within 180 days from date of sale and meet all other exchange requirements to qualify for tax deferral.
Optional brief description of the property involved in this exchange.
The adjusted basis of investment real estate being sold. Your tax professional can help you calculate this value based on improvements made and allowable deductions taken during your ownership period.
The contracted sales price of the investment property sold.
Expenses associated with the sale that are the responsibility of the seller. May include commissions, title insurance, closing costs, exchange fee, etc. This should not include items paid at closing that are not subtracted from the basis of the property. Generally this would include items that would be expensed such as interest, escrow and insurance payments.
The contracted sales price minus sales costs, commissions and exchange fee.
Net sale minus liabilities or mortgages on the investment real estate sold. This amount goes into the exchange account and, to avoid any tax, must all be reinvested into the investment real estate purchased.
The contracted purchase price of the replacement investment real estate.
Expenses associated with the purchase that are the responsibility of the buyer. May include commissions, title insurance, closing costs, etc. This should not include items paid at closing that not added to the basis of the property. Generally this would include items that would be expensed such as prepaid interest, escrow and insurance payments.
The contracted sales price minus sales costs, commissions and exchange fee.
Net sale minus liabilities or mortgages on the investment real estate purchased in the exchange. To avoid any tax, this amount must be greater than than the net cash generated by the property being sold.
Any liabilities or mortgages on the property.
The taxable amount of the transaction. If there is no 1031 exchange, it is the difference between the net sales price and the adjusted cost basis. If a 1031 exchange is performed, it is any amount purchased less than the net sale OR any amount of cash taken from the net proceeds (often referred to as "boot").
This is the original adjusted basis plus any amount purchased greater than the net sale.