In many situations, a 1031 may make sense to defer taxes and buy another property but not always. When transacting a 1031, you sell high but then because of the 45 day ID period, you probably have to buy high and that’s not necessarily in the client’s best interest.
What if you could sell today, defer taxes today and then have unlimited time to buy another property. And while your client’s waiting for conditions more favorable to buyers, he can receive a 5-6% cap rate on the sales proceeds until he buys another property.