Invest Smarter
‍with A 1031 Exchange

What is a 1031 Exchange?

The Most Popular Tax strategy for selling and buying real estate

Taxpayers can use 1031 exchanges to increase cash flow by deferring taxes on real estate sale profits. As long as they reinvest those gains in the replacement property, capital gains taxes are deferred.

MAKE SURE YOUR MONEY IS PROTECTED

National 1031 partners with CertifID to provide protection against wire fraud. All wire transfers are verified through CertifID, which verifies identity, confirms account information and protects the transfer with a transaction-specific insurance policy of up to $1 million. All 1031 exchange funds are held in an FDIC insured segregated escrow account with a top-rated banking institution. With more than two decades of experience managing escrow funds, you can be assured that your 1031 exchange proceeds are safe and secure.

How Does It Work

Sell your commercial property

Sell your property and retain more of the proceeds by deferring taxes. Instead of using proceeds to pay taxes, you can reinvest those dollars in another property.

Re-invest in a new property

Identify a new commercial property (i.e. “like-kind”) within 45 days of sale and complete the purchase within 180 days.

We hold your proceeds in Escrow

As a Qualified Intermediary, National 1031 fully satisfies the IRS requirements that sale proceeds are held by a third-party for up to six months until the replacement property is acquired.

You avoid capital gains taxes

Proceeds are released from the 1031 exchange account and used to purchase a replacement property, often eliminating all of the capital gains tax from the original sale.

WE PARTNER WITH VISIONARY PROPERTY OWNERS LIKE YOU WHO WANT TO MAXIMIZE THEIR CAPITAL FOR THE NEXT INVESTMENT

National 1031 is your partner for 1031 exchanges that assures compliance with IRS laws and regulations, secure transmission and holding of funds and simplify an otherwise complex tax strategy. For over 20 years, our team of experts has processed hundreds of transactions involving 1031 exchanges and safely coordinated the transfer of billions of dollars in sale proceeds.

Lawrence R. Duthler

CO-FOUNDER, ATTORNEY, REGISTERED CERTIFIED PUBLIC ACCOUNTANT, MASTERS DEGREE IN TAXATION

Read Bio

Lawrence R. Duthler is the president and co-owner of Sun Title Agency, a nationally recognized and award-winning title insurance agency that specializes in complex commercial transactions. He is also the co-founder of CertifID, a real-time and guaranteed identity and document verification system to prevent wire fraud in the title, lending, and real estate industries.

Since it was founded in 2005, Sun Title has grown into one of the largest commercial and residential title agencies in Michigan, appearing on the Inc. 5000 list three years in a row, as well as 101 Best and Brightest Companies to Work For and 50 Businesses to Watch in Michigan lists.

Thomas W. Cronkright II

Co-founder, Executive Chairman, CertifID

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Thomas W. Cronkright II is the CEO and co-owner of Sun Title. He is also the co-founder and chairman of CertifID. The companies he supports have been recognized in Inc. magazine, Momentum Leader, PartnerStack, Built in Austin, Purpose Jobs, the 50 Businesses to Watch list by Michigan Celebrates Small Business (MCSB) and more. Tom is a licensed attorney, title insurance producer, national subject matter expert on cyber security and wire fraud, and has been featured in the Wall Street Journal, Washington Post, Good Morning America, Forbes and other national publications.

1031 Exchange
FAQs

1031 Exchanges can be complex, but we’re here to make it easy. Check out our frequently asked questions below. If you can’t find what you’re looking for, email or call us. We’re here to help.

What is a “like-kind” property?

In its most basic form, “like-kind” properties will be nearly any commercial property. Properties do not need to be “the same.” Rather, they need to be owned for the same purpose: commercial use. For example, if you sell a warehouse, your replacement property could be an apartment complex — although they are different types of properties, they are both held for commercial purposes.

Why do I need an intermediary to help me with my 1031 exchange?

The IRS laws and regulations state that the property owner cannot receive the proceeds of the sale — they must be held by an independent third party. Accordingly, the IRS has established rules that outline the functions of a qualified exchange intermediary. Not all intermediaries are the same, so it is critical that you choose a company with deep expertise and a commitment to security.

Do I need to file any forms with the IRS?

Yes. The IRS requires you to file a Form 8824 with your tax return for the year of the exchange transaction. In the form, you will include information about the relinquished property and sale property, as well as a timeline for the process and involved parties (like National 1031). National 1031 provides all of the documentation and schedules needed to clearly demonstrate full compliance with the 1031 exchange rules.

SEE THE IRS'S FAQ ON 1301 EXCHANGES

Invest Smarter ‍with A 1031 Exchange