Why You Should Say Yes For 1031 Exchange Properties ?
1031 Exchange enables your money to get the maximum profit for your 1031 exchange properties. However, the exchange process is extremely complex in nature and it would be wise to have guidance from expert professionals. We have extensive experience in handling highly profitable exchange of property for our varied client base.
A 1031 exchange may include any type of properties like office buildings, storage facilities, industrial properties, single family homes, multi family apartments, raw lands, retail shopping centers, and triple net leases.
1031 exchanges are the tax-deferred exchanges that allow the investors to defer the capital gain taxes on exchanging the like-kind properties. Here the term ‘like-kind’ means the properties that are similar in nature. The mandate condition for the properties used under 1031 exchange is that they should be used for some productive use or for some business, and for investment purposes. Not to mention, an investor can’t exchange the primary residence under the 1031 exchange.
One more requisite of 1031 exchange properties is that the investor must involve qualified intermediaries. So, if you are thinking about completing your 1031 exchange yourself, then you should stop bothering because the chances are negligible. We can say that this is a marvel, after all more experienced and qualified person will be handling your exchange.
Qualified Intermediary is the person who is responsible for completing the exchange for 1031 exchange properties. So, it is not possible to complete the exchange by yourself as qualified intermediary is the soul of 1031 exchange and one can’t imagine an exchange without them. Normally the exchange starts with sale of relinquished property. For this purpose investors require the help of qualified intermediary as he holds the proceeds as investors aren’t allowed to touch it. A deadline of 45 days is there to identify the replacement property. This time period is known as the identification period. Suppose the investor does not meet either the deadline or couldn’t complete the exchange within next 180 days, then the property exchange will not be able to qualify as a 1031 exchange . Since time plays an important role in 1031 exchange, and the involvement of Qualified Intermediaries becomes more crucial for 1031 exchange properties.
For consultation and assistance regarding 1031 exchange call – 888-876-6005 or email us at firstname.lastname@example.org