How Do I Get Started Investing in Opportunity Zones?

Written by Posted On Monday, 10 June 2019 10:43

When it comes to Opportunity Zones, how do I get started making an investment? Do I need a facilitator? 

The key to receiving the Opportunity Zones incentive is the investment of capital gains into a Qualified Opportunity Fund. The initial investment into an Opportunity Fund must occur within 180 days of the realized gain. Unlike the deferral of gain through an IRC 1031 tax deferred exchange, you do not need a qualified intermediary to invest funds into a Qualified Opportunity Fund. In some instances, a Qualified Opportunity Fund may be treated as a security, in which case all existing rules and regulations for securities apply.


A Final Thought – The Opportunity Zone incentive provides an opening to move gains into new investments where that gain may otherwise be kept of the market. This is particularly beneficial where gains from other asset classes are being invested. However, in most scenarios where the sale of real estate is contemplated a 1031 exchange still affords the best option to defer a gain by investing in real property. If an exchange is initiated but a replacement property cannot be identified within the 45-day period those funds can always be redirected into a Qualified Opportunity Fund.

Want more information? Watch the video below from David Moore of Equity Advantage and our latest Expert Coni Rathbone with Dunn Carney! 

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Opportunity Zones - How Do I Get Started? 1031exchange.com
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David Moore

David Moore, CEO, founded Equity Advantage with his brother Tom in 1991, after a successful real estate investment career. David is a nationally recognized expert on 1031 exchanges and a former board member of the Federation of Exchange Accommodators. David is a Certified Exchange Specialist (CES).

1031exchange.com

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