Picture this: Sarah, a seasoned real estate investor from San Francisco, just sold her duplex for $2.8 million. After holding it for eight years, she’s sitting on a hefty $1.6 million gain.
Rather than hand over $400,000-plus to Uncle Sam in capital gains taxes, she’s eyeing a completely different strategy — one that could not only defer her taxes but potentially triple her cash flow … by moving her investment dollars 2,000 miles east to Atlanta.
Welcome to the world of geographic arbitrage through 1031 exchanges, where smart investors are discovering the best replacement property might not be in their backyard — or even their state.
Kiplinger’s Adviser Intel, formerly known as Building Wealth, is a curated network of trusted…