A 1031 Exchange transaction requires planning, expertise and support. Here’s a checklist outlining key steps in your exchange.
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Choose your 1031 Qualified Intermediary (QI)
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Consult with your tax professionals
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Include Cooperation Clause language in your purchase and sale agreement
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QI prepares your exchange documents
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Start searching for Replacement Property
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Sign all documents QI prepares
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Sell your Relinquished Property
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Identify your Replacement Property
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Enter into contract on Replacement Property
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Contact QI once Replacement Property escrow is opened
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Close on Replacement Property
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QI transfers funds to complete your purchase
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Your exchange is complete
Although the applications are numerous and the process of doing a 1031 exchange does not need to be complicated, taxpayers are always advised to seek the advice of competent tax and legal advisors.
If you have more questions consider coming to our 1031 Exchange Seminar this Thursday February 16, 2023 at 6pm. Be sure to RSVP.
IPX1031 will be teaching the class and will be on hand to answer any questions.