One of the most popular "tax deferring" strategies for real estate owners who are selling one property and acquiring another is the use of Section 1031 of the Internal Revenue Code. It is an effective way to defer paying income tax on capital gain generated by the sale of a property when you intend to reinvest the proceeds in a similar, "like-kind" property. Almost any kind of real property is considered "like-kind" with any other real property.

A recently enacted law closes what was considered a loophole in the Section 1031 rules. In some cases, owners of investment real estate have used the 1031 Exchange to swap their investment property for real estate that could be readily converted to an owner-occupied residential property. After the exchange, they made the property into their principal residence, lived in it for a couple of years, then sold it. Now the American Job Creation Act of 2004 has ruled that properties converted from a 1031 exchange property into a residence must be held and used as a principal residence for at least five years to qualify for the tax exemption. Otherwise, the basic tax-deferring benefits of 1031 exchanges remain the same.

Consult your tax advisor for more detailed information.

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The Chris Knight Team
Coldwell Banker Weir Manuel
177 N. Main Street Suite 100
Plymouth, MI 48170
Direct Line: 734-738-2958
Fax: 734-453-3245
chrisknight@NUMBER1EXPERT.com

Why Choose Chris Knight

Since 1998, Chris Knight of Coldwell Banker Weir Manuel in Plymouth, has been named Coldwell Bankers #1 Agent in Michigan.

Over the years, Chris has consistently earned the "Circle of Excellence," "Top Sales Associate," "President's Top 30," and "Founder's" awards from his company

Chris began his career 26 years ago and now virtually 100 percent of his business is based on referrals and repeat customers.

Chris has always had a strong work ethic and keen entrepreneurial sense. He now employs a full-time office staff to handle administrative duties. This allows him to maintain frequent personal contact with his clients, keeping them apprised of his efforts, new listings, and potential buyers.

More importantly, Chris always looks after his clients from an investment standpoint. "I like to make sure my clients get a good value so when they're ready to sell the house years later, it will have been a good investment for them," he explains.

Chris is a native of the Plymouth area, currently residing in Plymouth Township with his wife Sue and their daughters, Kylie and Alyssa.

The Chris Knight Team is one of The Top Selling Real Estate Experts™

Why Do Some Real Estate Agents Outsell Others 8 to 1?

They negotiate the best deals, list the best homes, have the biggest network of buyers looking for homes, and market properties more effectively, both on the web and off. That's why people come back to them again and again. That's why they sell more homes! They are proven winners - and people know it.

How good is YOUR agent? The Chris Knight Team:

• Helped people buy and sell a staggering 482 properties in 2009! That's a home or property bought or sold every 16 hours.
• Had over $80 Million in total sales volume for 2009.
• Has more than 26 years experience in real estate.
• Employs a team of 2 full-time administrative assistants and four buyers agents dedicated to helping people buy and sell homes.

For more information please visit www.NUMBER1EXPERT.com.

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