How to Use a 1031 Exchange to Defer Taxes on a Rental Sale

In episode 80 of The Real Estate Investing Podcast, Lucas and Luna dive into the 1031 exchange — a tax-deferral strategy that lets landlords sell one rental property and reinvest the proceeds into another without paying capital gains tax. They break down the strict timeline rules (45 days to identify, 180 days to close), the role of the qualified intermediary, and the catch: depreciation recapture. Using the example of a landlord who sold a duplex in Austin and bought a fourplex in Phoenix, they show how a 1031 exchange can roll equity indefinitely — and the risks of getting the timing wrong. If you're a buy-and-hold investor considering a sale, this episode walks through the mechanics, the pitfalls, and whether the strategy still makes sense in the current interest rate environment. No fluff, no hype — just the specific steps and numbers that matter. #1031Exchange #TaxDeferral #RealEstateInvesting #RentalProperty #CapitalGains #DepreciationRecapture #QualifiedIntermediary #LikeKindExchange #BuyAndHold #LandlordTips #PropertySale #TaxStrategy #WealthBuilding #PassiveIncome #Finance #Investing #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo