Commercial property for sale. Upon sale like to purchase a residence or com.property do u hav 2 pay cap gains?

As long as you are purchasing property that you are using for investment purposes, the way you do this is through a ';1031 exchange';.





The name is a bit misleading, as you don't have to find someone willing to trade properties with you, however, it only works if the property you'll be selling is investment property and the property you'll be buying is also investment property.





It needs to be arranged in advance, and there are some very strict time-lines that must be followed. Talk to your agent, and he/she should be able to go into more detail for you. Most experienced agents have some familiarity with the 1031 process.





If you happen to have a new agent that isn't familiar with 1031 exchanges, ask to bring the broker in on the conversation. (If the broker doesn't understand the basics of a 1031 exchange, it's probably time to go elsewhere.)





There's a Wikipedia article that seems pretty good, although it's rather dry reading.





http://en.wikipedia.org/wiki/1031_exchan鈥?/a>





A good agent should be able to help you with this.