Legal Question in Real Estate Law in Florida

Re: Refinance

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You can refinance and invest the proceeds without any concerns. There are not any taxable consequences unless and until you sell the property at which time you will have to deal with taxes on the profit. You can delay the tax consequences by buying another property through a 1031 exchange which defers the payment of taxes.

I strongly suggest that you consult with a real estate attorney to answer all of your questions regarding this situation.

Scott R. Jay, Esq., 305-249-8000