Investor Glossary-investment propertyInvestor Glossary-investment propertyInvestor Glossary-investment propertyInvestor Glossary-investment propertyInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Investment Property

The HTML to link to this page
 

Real property owned by an entity for other than its own use is an investment property. In other words, investment property is real estate held for portfolio purposes. Significant features of the US tax code make investment property a tax advantaged asset class. Most notably, under the IRS section 1031 exchange provisions, the taxable gain on the sale of investment property can be deferred indefinitely by exchanging the investment property for another "like kind" property, where "like kind" has gradually become loosely interpreted as meaning any other investment property (or group of properties) of equal or greater value. An investment property does not have to be held for profit. In New York City, some major landlords lease entire office buildings to non-profit organization tenants for tax purposes. An individual's home is not classified as an investment property, but homeowners nevertheless commonly speak of their home as an investment. Similarly, an industrial concern's wholly owned operating site is a user property, rather than an investment property.



Rate this investment property definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: stock market close, quality assurance, reverse mortgage, Key Rate Duration, annual return, option premium, in escrow, VIX, Zero Cost Collar, ex-dividend date, deferred tax, limit order, cancelled check, open position, current ratio, labor relations, margin rate, wholly-owned subsidiary, retained earnings, implied volatility, diluted share, LIBOR, debt service coverage, APR, dividends payable, class C shares, liquidity ratio, 144a, minority interest, 1031 exchange, deferred revenue, inflation, covered put, balance sheet, phantom income, per diem, 401a, average price per share, risk management, required rate of return, FTSE, irrevocable trust, FICO score, stock split, EBITDA, ex-dividend, real GDP, 1035 exchange, command economy


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use