IRS Proposes Rule on Like-Kind Exchanges
The Internal Revenue Service has released a draft regulation to define a like-kind property that is held for investment, trade or business purposes under Section 1031 of the tax code (governing like-kind exchanges). The IRS will accept comments through Aug. 11.
A like-kind exchange under U.S. tax law is a tax-deferred transaction that allows for the disposal of an asset and the acquisition of another similar asset without generating tax liability from the sale of the disposed asset.
Under the Tax Cuts and Jobs Act, Section 1031 was limited to real property. Existing statute and regulations do not define real property for purposes of Section 1031. Determination of real property is instead accomplished using definitions obtained elsewhere in the tax code.
In addition to defining real property, the regulation seeks to clarify how taxpayers should treat certain receipts of personal property that is incidental to the real property received.
NAHB will continue to analyze the proposed regulations and plans to submit comments after a careful review.
Latest from NAHBNow
Advocacy
Jun 23, 2026
NAHB Applauds Congressional Passage of Landmark Housing BillNAHB Chairman Bill Owens issued the following statement after the House passed the 21st Century ROAD to Housing Act, sending the bill to President Trump to be signed into law.
Economics
Jun 23, 2026
Jobs-to-Permits Ratios Highlight Housing GapHome building activity did not fully keep pace with demand driven by job gains as strong labor market growth continued to put pressure on the nation's housing supply in 2024.
Latest Economic News
Economics
Jun 22, 2026
Structural Demand Outpacing Supply: Jobs-to-Permits Ratios Highlight Housing GapStrong labor market growth continued to put pressure on the nation’s housing supply in 2024, as home building activity did not fully keep pace with demand driven by job gains. Comparing net new jobs with prior-year permitting activity helps show whether the pace of housing construction is keeping up with potential household formation and broader economic growth.
Economics
Jun 18, 2026
Gains for Household Real Estate AssetsThe market value of households’ real estate assets rose to a new high in the first quarter reaching $48.7 trillion, according to the most recent release of U.S. Federal Reserve Z.1 Financial Accounts. This level is 1.7% higher than in the fourth quarter and is 2.6% higher than a year ago.
Economics
Jun 17, 2026
A Laconic Statement: Hawkish Hold and New Plans from the FedWith a new Fed Chair and plans for evolving operating strategies, the Federal Reserve maintained its target policy rate at the conclusion of the June Federal Open Market Committee (FOMC) meeting. For the fourth consecutive meeting, the FOMC maintained the short-term federal funds rate at a top rate of 3.75%.