I have a friend that just rehabbed a house in about 40 days, made 25k, and is being advised by multiple people, accountant, realtor, lawyer, that he can 1031 the "short term capital gains". According to your post, he is getting bad advice?
DB
The realtor wants to sell more listings, the lawyer wants the settlement fees, the accountant is just out of his element. Your friend is definitely getting bad tax advice from people who have a vested interest in having your friend do more deals.
Back in the days when investors could still get 403k loans, I had a mortgage broker tell me to use 403k loans to rehab and flip using a 1031 exchange, then keep serially rehabbing and flipping via 1031 exchange. Guess who would broker each loan?
People who are often very good in their own niche often give bad advice in areas that are outside their area of expertise.
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