Buying or selling any kind of property is a complicated transaction for which most people rely on professional advice. When engaging in more complex deals, such as those that involve using the Internal Revenue Service (IRC) 1031 Exchange Code to defer capital gains taxes, most people would be well-advised to turn to a specialist like NCS Exchange Professionals at 4811 Hopyard Road.
"Our primary service is to help investors defer taxes when they buy and sell investment property," says Whitney Graham, business development specialist for NCS Exchange Professionals. "We also help them figure out what their objectives are when they are buying and selling property. They may have an idea of what they want to do, but we can help them work on things like a retirement planning strategy, extracting cash out of their investment property for other investments, or paying off debt. We actually teach them how to build wealth by deferring capital gains."
NCS Exchange Professionals helps its clients to leverage their assets by optimizing the benefits of the Exchange Code to defer capital gains taxes during the exchange and disposal of real estate investment property. Capital gains taxes can be a major deterrent in selling property. Often, investors want to purchase new investment property, but to do so, they must first sell their current property. Many shy away from the transaction, not wanting to pay capital gains taxes on the sale, while missing the opportunity to purchase a more lucrative investment asset.
A tax-deferred exchange is a method by which people can sell qualifying property followed by the acquisition of other qualifying properties. Essentially, if you sell an investment property and use the proceeds to purchase a similar investment property, you can avoid paying federal income taxes on the transaction. NCS Exchange Professionals is recognized by the IRS as a Qualified Intermediary, meaning that they are able to act as the neutral third party between the buyer and seller during an exchange.
NCS is a wholly-owned subsidiary of Mother Lode Holding Company, which provides title insurance, underwriting, and transaction support services to the nation's real estate industry. Since the founding of its principal subsidiary, Placer Title Company, in 1973, Mother Lode has expanded outside of its original California market to provide title and title-related products and services throughout the United States. NCS's Hacienda office opened in October 2004 and employs seven people. While Hacienda serves as its home office, NCS Exchange Professionals serves clients throughout the U.S., since the IRS 1031 Exchange Code applies to all 50 states and the U.S. Virgin Islands.
"Anyone can do exchanges as long as the property serves business, trade, or investment purposes," Graham says. "The process applies to nearly any type of property as long as it isn't your primary residence. However, the government regulations that apply to exchanges are very stringent, so it's important to have a company like ours advise you if you're considering taking advantage of the code."
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