A Real Reinvestment Solution—The 1031 TIC

A 1031 Tenant In Common (TIC) exchange can be a real financial solution for investment property owners with changing financial and lifestyle objectives.

Interested in upgrading your property holdings and eliminating mundane, day-to-day property management tasks? Want to sell an investment property and defer taxes on capital gains?

A 1031 TIC exchange is just that—the exchange of a current investment property for shared ownership of an investment property of equal or greater value. To encourage this type of investment, capital gains taxes on the sale of your current investment property are deferred.

By exchanging your existing property for a fractional interest in a TIC property you gain shared ownership in larger, institutional-grade properties. Through fractional ownership equity can also be diversified among several property types and locations.

Each TIC investor is named on the property deed and considered a direct owner of the real estate. Investors possess undivided interests in the property or designated interests of differing sizes. The income, tax benefits and appreciation of the property are all shared in proportion to investor ownership as well as the risks of property ownership.

TIC investment properties employ professional asset and onsite property management, guided by a TIC agreement that establishes the governance of the property and the decisions requiring a vote by the property owners.

Real Specialists

World Trend property interest brokers are specialists in 1031 TIC exchanges. Our expertise is important because of the complex nature of the 1031 exchange process and TIC investments. There are stringent time constraints with significant tax consequences if deadlines are not met.

We work with you one-on-one during each step of the exchange process. First, we provide access to a wide selection of investment grade properties. Then we carefully research the properties, conducting several layers of due diligence to identify those properties best suited for you. If evaluations at each level are favorable, we help you make the exchange. At each step in the process we ensure that all IRS scheduled requirements and deadlines are met.

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