1031 Exchange like-kind property

Both properties must be similar enough to qualify as “like-kind.” Like-kind property is property of the same nature, character or class. For example, real property that is improved with a residential rental house is like-kind to vacant land. Similarly, a commercial building is like-kind to a multi-family rental property. And you can even exchange business for a ranch. The litmus test is both properties must be held for use in a trade or business or for investment—Read more at IRS.gov. “Like-Kind Exchanges Under IRC Code Section 1031.” 27 June 2019