1031 exchange allows the investor to get the maximum gain from the 1031 exchange properties. However, the exchange process is quite difficult, and it would be useful for the investor if he takes guidance from expert professionals. We have extensively experienced team in handling a highly profitable exchange of property for our diverse client base. The properties that are involved in the 1031 exchange are office buildings, storage facilities, industrial properties, single-family homes, multi-family apartments, raw lands, retail shopping centers, and triple net leases. There are certain pre-requirements for acquiring and identifying potential like-kind property or 1031 replacement properties in your 1031 exchange. Replacement property that you want to purchase for 1031 exchange should be determined to your Accommodator and must be identified within the 45th day of the calendar following the end of your relinquished property sale transition. Let’s discuss an example to explain this: If the sale of the property of the investor closes on August 31, then the first day of 45 day calendar identification period would be September 1, and the 45th calendar day would be October 15. For this, an investor must follow at least one of the following identification rules when completing the identification of like-kind replacement properties. One more requirement for completing a 1031 exchange is that the investor must involve qualified intermediaries. So, if the investor is thinking to achieve the 1031 Exchange by himself, then he should stop bothering because the chances are negligible. We can say this is a miracle after all more experienced and qualified personnel will be handling your exchange. Qualified Intermediaries are the person who is responsible for the exchange. Without the involvement of Qualified Intermediary, also known as QI, an investor cannot complete1031 exchange. If the investor wants to complete the 1031 Exchange by himself, then it is not possible, as Qualified Intermediary is the heart of the 1031 exchange, and we can't imagine an exchange without them. The exchange process starts with the sale of the relinquished property. For this purpose, the investors require the help of Qualified Intermediary as he owns the proceeds in an appropriate type of account known as Escrow account because the investors are not permitted to touch the proceeds. As we already know, there is a deadline of 45 days for the identification of the replacement property. These 45 days is known as the identification period. Suppose if the investor does not meet either the deadline and couldn’t complete the exchange within 180 days, then the property exchange will not be listed for 1031 exchange. Since time plays an important role, and the involvement of Qualified Intermediary becomes a more important part of 1031 exchange properties.
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