We have partnered with SellTaxFree.com to assist our clients with buying and selling vacation homes in a 1031 exchange. If you are planning to purchase a vacation rental through a 1031 Exchange, we can help you understand market opportunities and select the right vacation home. But we don't stop there. We conduct a detailed analysis of each home to identify the best investment properties, help with financing and insurance, and connect our clients with vacation rental managers.
At Revedy, we believe vacation rentals are the best investment option for a 1031 Exchange.
When it comes to vacation homes, a 1031 exchange involves selling one income producing property and using the proceeds to purchase another income property. This exchange or swap allows you to defer paying taxes on the sale. Many real estate investors are using 1031 exchanges to sell an existing investment property in order to strategically purchase a vacation rental.
To meet the requirements of a 1031 exchange, a vacation rental must be rented for at least 14 days each year at fair market value. The property may also not be used for more than 14 days of personal use each year or 10% of the nights rented, whichever is greater. These same rental requirements apply to a seller's current investment property that they intend to sell in a 1031 exchange.
At Revedy, our top priority is to understand your vision and goals for your vacation home investment. We then partner with you on a plan to deliver the right investment home, mortgage and insurance provider and vacation rental manager for your specific needs. Your dream to own a vacation rental home is more affordable than you realize — Contact us today to get started.
Depending on the location and amenities, a vacation rental can generate more net revenue (take home cash) than most long term rentals. Strong cap rates and revenue potential are key reasons why we recommend to our clients that they consider investing in a vacation home in a 1031 exchange.
Vacation home investments are not only financially prudent, but it's also a place where you can spend time with family and friends. For our clients who have a specific vision for their vacation rental, we perform custom searches to find the perfect home that they can enjoy with their family for years to come while also earning revenue.
With the establishment of well respected vacation rental managers (VRMS) you can sit back and relax knowing your vacation home is well taken care of and well marketed. The vacation rental manager will be in the house much more frequently than a long term rental - ensuring any issues are handled quickly and efficiently. Remove the stress of owning a second home and enjoy collecting monthly income.