South Florida's price gains plus no state income tax make a 1031 into DSTs a clean passive exit.
The typical Miami home is worth about $581,000 (-1.6% over the past year, per Zillow's home value index). For owners of appreciated Miami investment property, a sale can trigger a large tax bill — which a 1031 exchange into a Delaware Statutory Trust can defer while moving you out of active management.
Miami market snapshot
Home value & YoY: Zillow Home Value Index, 2026. Cap-rate range approximate — verify for your asset and submarket.
The tax on a Miami sale
Florida has no state income tax, so a Miami sale is taxed only federally — 20% long-term capital gains plus the 3.8% net investment income tax, about 23.8% of the gain. A 1031 exchange into a DST defers all of it.
See the full Florida 1031 rules, tax math, and state-specific reporting →
Baker 1031 near Miami
Miami FAQ
What's the typical home value in Miami?
The typical Miami home value is about $581,000 (-1.6% year-over-year, per Zillow's home value index, 2026). Owners of appreciated Miami rental or investment property often use a 1031 exchange into a DST to defer tax and move to passive ownership.
Do Miami sellers owe state tax on a gain?
No. Florida has no state income tax, so a Miami property sale is taxed only federally — up to 23.8% on the gain — which a 1031 exchange can defer.
Does a DST have to be located in Miami?
No. A DST doesn't have to hold Miami (or even Florida) property — you can exchange your Miami sale proceeds into vetted DST offerings anywhere in the country. We match the replacement to your goals, not your ZIP code.
Disclosures
This page is educational and is not investment, tax, or legal advice, or an offer to sell or a solicitation to buy any security. Home-value data is from Zillow's home value index (2026) and cap-rate ranges are approximate — verify current figures. State tax rules are summarized; confirm with your CPA and attorney. For accredited investors only. Representatives may transact business only in states where registered or exempt. Securities offered through Aurora Securities, Inc., member FINRA/SIPC; Baker 1031 Investments, LLC is independent of Aurora. Past performance does not guarantee future results.