Legal Question in Real Estate Law in New Mexico

Swaping house and lessening taxes

For the past 8 years, my wife and I have lived in Virginia and rented a house. We own a house in NM, valued at $1 million, that we have rented out for the last 5 years. A friend owns a house in Virginia, valued at $1.1 million, which he'd like to swap for my NM property. We'd like to explore what the legal hurdles are, and how can we best accomplish this exchange or swap, while minimizing our taxes all around?


Asked on 7/04/04, 4:38 pm

1 Answer from Attorneys
Michael Hendrickson Law Office Michael E. Hendrickson

Re: Swaping house and lessening taxes

Your best approach is to review the terms and conditions of what's known as a Starker Exchange

which is governed (I believe) by Sec. 1031 of the Internal Revenue Code.

You should be able to find any number of websites on the Internet explaining how the above-referenced transaction is suppose to work.

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Answered on 7/05/04, 8:10 am


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