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Posted by Porter on September 21, 2003 at 06:17:34:

I used a 1031 exchange to sell one single family residence rental and buy three replacement rental properties. There was a lot of equity in, and little financing on, the relinquished property. I bought two of the replacements for all cash (from sale of the relinquished property) and bought the third with the remaining cash plus financing greater than what was on the relinquished property. So, all taxes on capital gains were deferred. All of the transactions associated with this 1031 exhange are now completed. A couple of questions:
1) Is there any restriction to my now refinancing one of the houses that I bought for cash?
2) Is there any minimum "holding period" required before I sell one of the houses, again using a 1031 exchange, to buy a more attractive property?
My opinion is that the answers are "no" and "no" -- but I would appreciate confirmation of my opinion or any differing views.