A tax deferred exchange represents a simple, strategic method for selling one qualifying property and the subsequent acquisition of another qualifying property within a specific time frame. Although the logistics of selling one property and buying another are virtually identical to any standard sale and purchase scenario, an exchange is different because the entire transaction … Read more
1031, tax, exchange, services,real estate, property,misconceptions The Exchangor has a maximum of 180 days from the closing of the relinquished property or the due date of that year’s tax return, whichever occurs first, to acquire the replacement property. This is called the Acquisition Period. The first 45 days of that period is called the Identification … Read more
In a 1031 exchange property agreement between the exchanger and the intermediary there is a document where the exchanger gives the intermediary the right to acquire the relinquished property from the exchanger and then pass it on it to the buyer. The other documents that are required are 1031 exchange escrow agreement, 1031 exchange amendment … Read more
If for some reason the investor is unable to sell the relinquished property within the strict 180 day deadline, the EAT will transfer title of the new property to the investor. The investor will end up owning both the replacement property and the relinquished property which was not sold. A failed reverse exchange will not … Read more
1031, tax, exchange, services,real estate, property,misconceptions Although the vast majority of exchanges occurring presently are delayed exchanges, let us briefly explain a few other exchanging alternatives. Simultaneous ExchangeAs mentioned previously, prior to Congress modifying the Internal Revenue Code as to exchanges and formally approving the concept of delayed exchanging, virtually all exchanges were of the … Read more