This is not legal, investment, nor tax advice. Seek the counsel of a qualified attorney, investment advisor and / or accountant.
© 2026 1031 Specialists. All rights reserved.
The 1031 Exchange SpecialistsBy doing a 1031 exchange, you defer
in taxes when you sell.
This page is a marketing illustration, not tax, legal, or investment advice. 1031 Specialists is a qualified intermediary, not a CPA firm, law firm, or investment advisor. All figures are estimates based on the assumptions shown and on third-party property records; confirm them independently and consult your tax advisor before acting. State rates are top marginal rates applied to the gain. Cash flow and compounding figures are illustrative and assume a 50% loan to value. A 1031 exchange defers tax, it does not eliminate it.
Your numbers Every figure on this page updates as you type
| Itemized tax breakdown | |
| Sale price | |
| Selling and closing costs | |
| Adjusted cost basisPurchase + improvements − depreciation | |
| Taxable gain | |
| Depreciation recapture25% of depreciation claimed | |
| Federal capital gains | |
| Net Investment Income Tax3.8% of the gain | |
| State tax | |
| Total tax due |
Effective rate on the gain:
| At closing | |
| Sale price | |
| Selling and closing costs | |
| Tax deferred | |
| Total tax due today | $0 |
By purchasing a like-kind replacement property, you keep that would have gone to taxes invested in your portfolio.
Your basis carries over in a 1031, and the extra property you buy beyond your proceeds becomes new depreciable basis, less the land value.
Like to learn more about 1031s or discuss working with 1031 Specialists? Just click and pick a time that works best for you.
Book a free consultation nowEach time you sell, the growth rolls into your next purchase, levered again at 50%. Pay the tax at every sale instead, and every purchase starts smaller than it could have.
Reach out to compound your wealth tax-free.
This page is a marketing illustration, not tax, legal, or investment advice. 1031 Specialists is a qualified intermediary, not a CPA firm, law firm, or investment advisor. All figures are estimates based on the assumptions shown and on third-party property records; confirm them independently and consult your tax advisor before acting. State rates are top marginal rates applied to the gain. Cash flow and compounding figures are illustrative and assume a 50% loan to value. A 1031 exchange defers tax, it does not eliminate it.
This is not legal, investment, nor tax advice. Seek the counsel of a qualified attorney, investment advisor and / or accountant.
© 2026 1031 Specialists. All rights reserved.