Have a Tax Question? Ask a Tax Expert
There is a way to sell and buy property and avoid capital gains if you sell through a 1031 exchange. This only works if both properties are income producing as you use them as rentals. Have you ever rented the property in Miami Beach?
Yes, you are still obligated to report the sale. You cannot use a 1031 to replace rental property with personal use property. This is so even if you split the use of the replacement property.
The rental you are selling is subject to tax on the gain you recognize.
Please let me know if you need clarification. If you do not then a positive rating is appreciated so I get credit for the response. (look for the STARS or SMILEY FACES)