A 1031 exchange is only relevant to depreciated investment property subject to capital gains at sale. By engaging in a 'like-kind exchange', the basis of the n

A 1031 exchange is only relevant to depreciated investment property subject to capital gains at sale. By engaging in a 'like-kind exchange', the basis of the new property is adjusted and it avoids being taxed on the sale price vs. the depreciated value. There is a standard exclusion of $250K (filing single) for a property used as a personal residence. https://www.irs.gov/taxtopics/tc701 https://www.irs.gov/taxtopics/tc701