This means the funds will be protected from the taxman, and can be easily allocated to a purchase of a new home. You have 45 days to find the right property and six months for the transaction to be completed. To make this transaction go smoothly, you should search for your next home before you rent your existing rental property. This process can be further explained in Section 1031 (Internal Revenue Code).
If you have rented your vacation home, it will likely get high marks for curb appeal. With the constant stream renters, there is bound to be some wear and tear. Let's take a moment to look at the rental property with the eyes of potential buyers.
If you are considering 1031 as the best route to sell your rental home, there are some rules and regulations that you should know in order not to be disqualified. The IRS strictly regulates 1031 codes to ensure property owners follow its rules.
The furnishings you sell are not for your home but a vacation rental. Spend some time walking through the property to make a list and decide what to keep or add to the deal.
If you're not comfortable giving up all the work you have done for your Airbnb property, especially if your Superhost status has been achieved, you may consider selling it and still being the property's host. All of your Airbnb information, including reviews and status, can be retained. The only thing you will need to do is change your bank account information.
You should also take note of any other details that could need attention. Are there any cracks in the walls? Are there areas in the walls that need patching? Are there any damaged baseboards from luggage? Are the doors or windows in good order?
