Are You in the Right Asset Class?

Dated: November 17 2025

Views: 412

Are You in the Right Asset Class? Why a 1031 Exchange May Be the Smart Move for Baby Boomer Investors in Maumelle and Central Arkansas

As the real estate landscape evolves, so should your investment strategy—especially if you’re a baby boomer holding onto residential rental properties that have fully depreciated. With more investors focusing on maximizing cash flow and minimizing tax liability, now is the ideal time to ask: Are you in the right asset class?

This question was front and center in a recent podcast featuring Russell Masan, the CEO of IPX 1031—the largest 1031 exchange intermediary in the United States, responsible for handling 70% of all exchanges each year. His insights offer important lessons for Central Arkansas investors and highlight why working with a Realtor who truly understands these strategies is critical.


Understanding Real Estate Asset Classes

There are multiple asset classes for investment real estate. Each comes with its own set of benefits—not just in terms of rental income, but tax advantages and long-term equity growth.

Common asset classes include:

  • Single-family residential rentals

  • Multifamily (duplexes, triplexes, apartment buildings)

  • Commercial retail and office space

  • Industrial and warehouse properties

  • Land acquisitions for development

Many baby boomers who invested in residential rentals decades ago are now sitting on properties with little remaining depreciation—which means less tax shelter and more taxable income.


Why a 1031 Exchange Makes Sense Now

A 1031 exchange allows you to defer capital gains taxes by reinvesting proceeds from the sale of investment property into another “like-kind” property. For many longtime landlords, this is a golden opportunity to:

1. Trade Up Asset Classes

Stop self-managing residential homes and exchange into:

  • Triple-net commercial leases

  • Multifamily properties with professional management

  • Passive income opportunities with larger returns

2. Restore Depreciation Benefits

If your current property is fully depreciated, you’re missing out on valuable deductions. An exchange into a new property resets depreciation opportunities, which can significantly reduce your taxable income.

3. Increase Cash Flow

Newer or more efficient asset classes often generate higher monthly income with lower maintenance headaches.


Why You Need the Right Realtor for a 1031 Exchange

A successful exchange isn't just about selling and buying—it's about strategy, timing, and legal compliance.

That’s where I come in.

With over 15 years of experience and an average of 5–10 completed 1031 exchanges per year, I can guide you seamlessly through the process. And now, with a direct line to Russell Masan at IPX 1031, I offer access to the most comprehensive 1031 exchange resources in the U.S.

As the most trusted Realtor in Maumelle and Central Arkansas, I don’t just sell real estate—I build wealth strategies.


Ready to Maximize Your Investment Strategy?

If you’re a landlord looking to swap your single-family rentals for a more passive income stream—or you’re just curious about your options—let’s talk.

Whether it’s a multifamily upgrade, a triple-net lease, or a commercial swap, I’ll help you find the best fit and get your equity working smarter.

📞 Call or email me to learn more about your 1031 exchange options and how to make the most of the current market.

Visit my website at www.ar-property.com
Follow me on Instagram @yourlrrealtor


Amanda Galbraith is a top-producing Realtor and investment strategist specializing in 1031 exchanges across Central Arkansas. Ranked #1 in her office and #10 in Maumelle, she’s the trusted choice for investors looking to grow wealth through strategic real estate moves. With a direct connection to the nation’s top 1031 exchange firm, she brings unmatched expertise to the table.

Blog author image

Amanda Galbraith

Amanda Galbraith, broker/owner of Arkansas Property Management & Real Estate, has been helping clients achieve their real estate goals in Maumelle, Little Rock, and across Central Arkansas since 2....

Latest Blog Posts

Is a FORTIFIED Roof Worth It in Central Arkansas?

Is a FORTIFIED Roof Worth It in Central Arkansas?What is a FORTIFIED roof, and does it actually lower your Arkansas insurance?A FORTIFIED roof is a voluntary construction standard from the Insurance

Read More

What do relocating buyers need to know about finding a home in Central Arkansas?

Relocating to Central Arkansas means choosing from a range of communities spanning Pulaski, Faulkner, and Saline counties, where recent local market data shows a median sale price of $300,000 and

Read More

What each brokerage model actually pays for

What each brokerage model actually pays forEvery brokerage model pays for the same business. What differs is which channel each cost travels through — the brokerage's share of your split, a,

Read More