Pre-construction condo selling

[klcleereman]

What is the name of your state? WI

I just recently signed a contract (reservation) for a condo that will be completed in November. With the real estate market being as hot as it is in my area, i am considering just selling it instead of actually moving in. Is it possible to sell the reservation before i actually own the condo myself? (i.e., do i have to take out a loan if i am going to sell it in the same day?)

What would be the best way to sell this condo with the least amount of costs on my part? I plan on re-investing the profit to bypass captial gains.

Thanks!

 

[HomeGuru]

What is the name of your state? WI

I just recently signed a contract (reservation) for a condo that will be completed in November. With the real estate market being as hot as it is in my area, i am considering just selling it instead of actually moving in. Is it possible to sell the reservation before i actually own the condo myself? (i.e., do i have to take out a loan if i am going to sell it in the same day?)

What would be the best way to sell this condo with the least amount of costs on my part? I plan on re-investing the profit to bypass captial gains.

Thanks!

**A: read your contract.

 

[nextwife]

I may be wrong, but I do not believe that a 1031 exchange can be accomplished if you are not in the chain of title. You must own the property to exchange out via a qualified intermediary, as far as I know. Which would require you to first close and then sell.

There are many resource sites. Here is one:

http://www.firstexchange.com/bert-rush-article.html

 

[HomeGuru]

I may be wrong, but I do not believe that a 1031 exchange can be accomplished if you are not in the chain of title. You must own the property to exchange out via a qualified intermediary, as far as I know. Which would require you to first close and then sell.

There are many resource sites. Here is one:

http://www.firstexchange.com/bert-rush-article.html

**A: who said anything about a 1031? I believe the writer is asking about a back to back closing or flipping. Hence my response.

 

[nextwife]

Is it possible to sell the reservation before i actually own the condo myself? (i.e., do i have to take out a loan if i am going to sell it in the same day?)

I plan on re-investing the profit to bypass captial gains.

I understood that in order to shelter profits from a non-residence RE transaction, a 1031 exchange must occur.