Simplifying With A View To The Future
A true-life story

At C-Ojones we have had the ability to help many clients with different needs. One case in point is the story of the Durant family (name changed to maintain privacy) and how they were able to use a tax deferred exchange along with NEW innovated replacement property solutions to gain the freedom they were seeking.

Over the last 40 years of marriage Mr. and Mrs. Durant had been able to acquire various single-family residences throughout the San Francisco bay area. The properties had appreciated significantly in value and over time had been fully depreciated. As such the Durant’s did not want to erode all their hard earned equity by having to pay capital gains on the sale of these properties. More importantly, the Durant’s were entering a period of their lives where it was becoming increasingly difficult to manage all these properties. They wanted to spend more time enjoying life rather than worrying about their properties but they had also needed the income that these properties were producing.

After consulting with their tax advisor they decided to sell the properties and contacted Vesta Strategies to facilitate the 1031 Tax Deferred exchange. By doing a the exchange the Durant’s were able to defer paying all the capital gain taxes. C-Ojones further showed them that they could also be able to benefit from a favorable passive monthly income through the utilization of one of the replacement property programs.

The Durant’s were able to choose from several programs each highlighting different types of property and returns. In the end the Mr. & Mrs. Durant diversified their investments by allocating their resources among a couple of programs and obtaining a comfortable monthly return. This now meant that they would not have to worry about the headaches sometimes associated with managing investment property. Today, the Durant’s receive monthly checks and still have the ability tot take advantage of the capital appreciation in the property. They now spend their majority of their time with their grandchildren and finally are able to get away on those much-deserved trips.