In a 1031 exchange, there are many potential traps that can lead to failure. In this article, we are going to lay out a couple tips to set your 1031 exchange up for success.
Give Yourself Plenty of Runway
One of the biggest potential traps in a 1031 exchange is time. Like-kind exchanges have strict time tables that you have to follow if you want your exchange to succeed. You have only 180 days total from the start of your exchange to the finish. On top of that, you only have the first 45 of those days to identify your replacement property. If you go over on either of those deadlines, you put your exchange in jeopardy. It’s important to give yourself plenty of prep time before starting your exchange to make sure you have all your ducks in a row.
Work with a Skilled Intermediary
It’s also important to work with a qualified intermediary that has experience facilitating 1031 exchanges like yours. There are many intricacies in the 1031 exchange process so it’s important to partner with an intermediary who understands the process inside and out.
Find a Qualified Intermediary Near You
Find a qualified intermediary near you by contacting CPEC1031, LLC today. We have over twenty years of experience facilitating exchanges under section 1031 of the Internal Revenue Code for taxpayers across the United States. If you are looking for help deferring capital gains taxes when selling investment real estate, we can help. Contact us today to learn a bit more about the full extent of services we provide and see how we can assist you through the many details of your next 1031 exchange of real estate.
Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.
Defer the tax. Maximize your gain.
© 2025 Copyright Jeffrey R. Peterson All Rights Reserved