CREI Partners

Real Estate Investments

Building Passive Income

Episode 17: The 1031 Exchange – Deferring Taxes on Syndication Exits

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Building Passive Income
Building Passive Income
Episode 17: The 1031 Exchange - Deferring Taxes on Syndication Exits
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Welcome to Building Passive Income with CREI Collin

Facing a big capital gains tax bill on a syndication exit? There’s a better way. In this solo episode, CREI Collin walks you through the 1031 Exchange—the IRS-approved strategy that allows you to defer capital gains taxes by reinvesting your proceeds into another property. Learn the strict timelines, common mistakes, and how to “swap till you drop” to build generational wealth.

What You’ll Learn:

  • What a 1031 Exchange is and how it defers capital gains taxes
  • The strict 45-day identification and 180-day closing deadlines
  • Why you need a Qualified Intermediary (and how to choose one)
  • The “like-kind” property requirement for real estate
  • How to 1031 from one syndication into another
  • Common 1031 mistakes that disqualify your exchange
  • The “swap till you drop” strategy for generational wealth
  • How 1031 Exchanges interact with depreciation recapture
  • Strategic considerations: When a 1031 makes sense (and when it doesn’t)

Important Timestamps:

  • [0:00] Introduction: The power of tax deferral
  • [1:30] What is a 1031 Exchange?
  • [3:00] How 1031 Exchanges defer capital gains and depreciation recapture
  • [4:30] The Strict Timelines: 45 days and 180 days
  • [6:00] What is a Qualified Intermediary (and why you need one)
  • [7:30] The “Like-Kind” Property Requirement
  • [9:00] Can you 1031 from one syndication into another? Yes!
  • [10:30] Common 1031 Mistakes (and how to avoid them)
  • [12:00] The “Swap Till You Drop” Strategy
  • [13:30] How 1031s interact with depreciation recapture
  • [15:00] When a 1031 Makes Sense (and when it doesn’t)
  • [16:30] Recap and Action Steps

Key Takeaways: ✅ 1031 Exchanges defer capital gains and depreciation recapture taxes

✅ You have 45 days to identify replacement property and 180 days to close

✅ You must use a Qualified Intermediary—you cannot touch the proceeds

✅ You can 1031 from one syndication into another (if structured correctly)

✅ Common mistakes: Missing deadlines, touching the money, wrong property type

✅ “Swap till you drop” allows you to defer taxes for life and pass assets to heirs with a step-up in basis

✅ Always work with a CPA and attorney experienced in 1031 Exchanges

Resources Mentioned:

Disclaimer: This podcast is for educational purposes only and does not constitute tax, legal, or investment advice. Always consult with your CPA, attorney, and financial advisor before making any investment or tax decisions.

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Ready to Build Your Tax-Efficient Exit Strategy? Let’s discuss how 1031 Exchanges fit into your investment plan. Schedule your free 30-minute consultation: Let’s Talk