Congress May Eliminate the 1031 Exchange and Interest Deductibility on Loans
There are some very serious changes being proposed within the tax code here in the U.S. that have been moving forward, and these changes could have a dramatic impact on commercial real estate. Congress right now is proposing to both eliminate the Section 1031 tax-deferred exchange, and eliminate the deductibility of interest paid on commercial real estate loans.
Can you imagine what these two changes alone could do to the sheer volume of commercial real estate transactions that would be closing, in addition to how they might impact the prices that buyers would now be willing to pay for commercial properties?
Here is an article that discusses this, along with a Web site that provides some good resources on this, too. In addition, your clients and prospects would want to know about this, so tell them, and tell them to contact their members of Congress to express their true opinions on this:
Click here for the article.
Click here for the Web site that has the additional resources.