All property acquired by a wife and husband during their marriage. Each spouse has a right to an equal interest in the property (Gifts and inheritances received by an individual spouse during the marriage are treated as separate property) Property acquired by the spouse prior to marriage, property acquired with separate property, or rents or profits generated from separate property are treated as separate property. Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin are community property states. This can be relevant in a 1031 exchange of single family rental investment property or other real estate type in transactions during and outside of marriage.
If after learning a bit more about Community Property you are curious to see how your current Investment Portfolio would benefit from performing a 1031, then I recommend signing up to receive a FREE 1031 Sizing from Conatus.
This sizing gives you info about the value of replacement properties you need to purchase and the amount of related debt on this purchase to fully defer your capital gains associated tax liability.
As an added benefit you will receive a comparison of your current income vs potential replacement property income that includes an assessment of income tax benefit between the
The Conatus 1031 Sizing is your blueprint for how to maximize cash flow from trading your equity for a multiple on income.Get My 1031 Sizing