Replacement Property Options for 1031 Exchange investors

One of the benefits of structuring a transaction as a 1031 exchange is the ability to purchase a replacement property which offers an entry into different sectors. Unfortunately, many people get caught up in the requirement that the property sold and the property to be purchased must be ‘like kind’ in order to qualify for an exchange. The term ‘like kind’ does not exactly mean that the same type of property must be purchased; but that an exchange for business or investment purposes can be between nearly any investment property; excluding, for example, your home.