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1031 Exchange

How a 1031 like-kind exchange defers tax on investment property: the 45 and 180-day deadlines, qualified intermediaries, boot, and a calculator for gain deferred vs taxed.

Updated November 4, 2026. Free, no sign-up; everything runs in your browser and nothing you type is stored.

1031 exchange calculator

Sale price of the property you're selling ($, net of costs)Its adjusted basis ($)Depreciation taken ($)Mortgage paid off at sale ($)

New mortgage on the replacement ($)Extra cash you add ($)Cash you keep (cash boot, $)Long-term capital gains rate (%)

Gain deferred

–

–Total gain

–Boot (cash + debt relief)

–Gain taxed now

–Tax on taxed gain

How a 1031 exchange works

Section 1031 lets you defer tax on the gain from selling investment or business real property if you reinvest in like-kind real property. Since 2018 it applies only to real estate, not personal property. You report it on Form 8824.

The 45-day and 180-day rules

Identify replacement property in writing within 45 days of selling.
Close on it within 180 days of the sale (or your tax return due date, if earlier).
Use a qualified intermediary to hold the sale proceeds; if you receive the money, the exchange fails.

Boot and depreciation

Any cash you keep, or a smaller mortgage on the new property than the old one, is boot and is taxable up to your gain. Gain from depreciation you took is taxed at up to 25% when recognized. To defer all tax, buy property of equal or greater value and replace the debt (or add cash). The deferred gain carries into the new property's basis, and heirs generally receive a stepped-up basis. See also the property gains tax calculator.

Common questions

What are the 1031 exchange deadlines?

Identify replacement property within 45 days and close within 180 days of the sale.

What is boot in a 1031 exchange?

Cash or debt relief you receive; it's taxable up to your gain.

Can I do a 1031 exchange on my home?

No, it's for property held for investment or business use.

Sources

More mortgage and home calculators: Rent Calculator Prorated · Reverse Mortgage Payment Calculator · 203k FHA Loan · Ad Valorem Tax

General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.