Track your rental portfolio, property returns, and financial freedom goals with Property Llama: https://go.propertyllama.com/biggerpo...

Doing a 1031 exchange at the wrong time could cost you hundreds of thousands, if not millions, of dollars over your real estate investing career. You may be saving a chunk of change on capital gains taxes, but you’re giving up something much greater that could help you reach financial freedom even faster. But don’t feel bad—most real estate investors are in this position and have ZERO clue. Here’s how you can avoid this milliondollar mistake.

Chris Lopez is back to showcase why he’s NOT using 1031 exchanges in 2024 and the massive wealthbuilding mistake most real estate investors will fall into. Using some basic math, it’s quite clear to see that 1031 exchanges have some serious taxsaving benefits, but in 2024’s highinterest rate environment, you may get even BETTER returns by selling and doing something notsoobvious with the money.

Plan your moneymaking moves in real estate with EASY scenario modeling from Property Llama: https://go.propertyllama.com/biggerpo...

~~~~
Join BiggerPockets for FREE
https://www.biggerpockets.com/signup?...
~~~~
Find an InvestorFriendly Agent in Your Area:
http://biggerpockets.com/agentmatch
~~~~
Find InvestorFriendly Lenders:
http://biggerpockets.com/findlenders
~~~~
Cost Segregation Walkthrough on a 276Unit (HUGE Tax Savings):
   • Cost Segregation Walkthrough on a 276...  
~~~~
Turning $50K into $1.5M With the “1031 Exchange” Strategy:
   • Turning $50K into $1.5M With the "103...  
~~~~
What Is Depreciation in Real Estate?
https://www.biggerpockets.com/blog/wh...
~~~~

00:00 DON'T 1031 Exchange
01:54 Sponsor: Property Llama!
02:45 Why I'm Selling
04:11 Why a 1031 DOESN'T Work
05:42 The "Velocity of Money"
07:17 $130K Tax Bill!?
09:55 Option 1. Sell and Pay the Tax
10:39 Option 2. Sell and Use Depreciation
12:56 Option 3. Sell and Invest Passively
14:29 SixFigure Tax WriteOffs
16:17 Make $1M More!
What Is Bonus Depreciation And How Does It Work?
https://www.biggerpockets.com/blog/bo...
~~~~
Connect with Chris on BiggerPockets:
https://www.biggerpockets.com/users/c...
~~~~
Follow Chris and BiggerPockets on Instagram and YouTube:
BiggerPockets: @biggerpockets or   / biggerpockets  
Chris: @chrislopez_co or   / chrislopez_co  
YouTube:    / @buildingwealthwithrealestate