A 1031 exchange is a real estate transaction that allows investors to defer capital gains taxes by selling one investment property and purchasing another "like-kind" property. Here are some key points to know about 1031 exchanges:

• A 1031 exchange is a tax-deferred exchange that allows you to defer capital gains taxes as long as you are purchasing another "like-kind" property.
• The exchange must involve investment or business property, not personal property.
• The properties being exchanged must be "like-kind," meaning they are similar to each other in one or more ways.
• The exchange must be completed within a 180-day period, starting from the date of the sale of the relinquished property.
• Proceeds from the sale must be held in escrow by a third party and used to buy the new property; you cannot receive them, even temporarily.
• There are different types of 1031 exchanges, including simultaneous exchanges, delayed exchanges, and reverse exchanges.
• A 1031 exchange can be beneficial for investors who want to purchase another property while selling off their current one, as it allows them to defer capital gains taxes indefinitely.

Its important to note that 1031 exchanges have strict requirements and deadlines, so its recommended to work with a qualified intermediary to manage the exchange.