Only two types of real property qualify for a 1031 Exchange – Investment Property and Property held for use in trade or business. Principal residences, vacation homes and time shares do not qualify.
Among the types of real property that are eligible for 1031 Exchange treatment are multi-family apartment buildings, single-tenant net-leased properties, hotels, factories, commercial office buildings, shopping centers, farmland, quarries and oil fields. In general, any type of real estate may be traded for another type of real estate as long as it satisfies the qualified use test.