What is a 1031? A sale or a loan??

[enricosuave]

What is the name of your state? CALIF

I own two investment properties and want to use equity from those to purchase more investment homes for re-sale later. I had figured on doing a simple 2nd mortgage or equity loan.. but was then briefly told about a 1031 to get financing. Is a 1031 a collateral loan against my investment properties.. or is it a tax-deferred sale of the properties based on re-investment into another property??

 

[john123456]

What is the name of your state? CALIF

I own two investment properties and want to use equity from those to purchase more investment homes for re-sale later. I had figured on doing a simple 2nd mortgage or equity loan.. but was then briefly told about a 1031 to get financing. Is a 1031 a collateral loan against my investment properties.. or is it a tax-deferred sale of the properties based on re-investment into another property??

Googe "1031 exchange" or "1031 like kind exchange."

 

[HomeGuru]

that's correct.