Video – When Are 1031 Exchange Funds Available to the Taxpayer?

Let’s say you’re on the fence and not sure if you want to do a 1031 exchange. One of the most pressing questions you have is “how long will my money be tied up in this 1031 exchange?”

The first thing that you need to do is talk with a qualified intermediary before closing. You escrow your proceeds with the intermediary for at least the first 45 days, during which you contemplate whether or not you want to designate replacement properties. If you fail to designate or identify replacement properties by midnight of the 45th day, you’re exchange is over and the intermediary can return your unused funds to you on the next business day.

However, if you identify property your funds will then be tied up until you either acquire the designated property or your exchange period ends (which is either the 180th day or the due date for the filing of your federal income tax return).

Remember, your funds are always immediately available for you to acquire replacement property. But they may not be immediately available to be returned to you during the exchange period.

CPEC1031, LLC – Qualified Intermediaries You Can Count On

At CPEC1031, LLC we offer qualified intermediary services you can count on. For more than twenty years, we have been facilitating 1031 transactions for taxpayers throughout the United States. We can help guide you through the process from start to finish, ensuring you are well informed and set up to defer 100% of your capital gains tax burden. Reach out to our third party intermediaries today to talk about the details of your next 1031 exchange of real estate. You can find us at our primary office located in the heart of downtown Minneapolis.

• 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.

© 2026 Copyright Jeffrey R. Peterson All Rights Reserved

Video – Farmland 1031 Exchanges Can Be Confusing to Navigate

Sometimes doing 1031 exchanges can be difficult because the rules can seem confusing. You have to hold your property for investment or business purposes, and there are related party rules when you’re selling to a related person.

This gets really interesting when doing a 1031 exchange involving farmland that you’ve inherited from a deceased relative, especially if you plan on selling your interest in that property to another relative. In this situation, you have holding period issues and potential related party issues.

If you want to discuss doing 1031 exchanges of farmland that you’ve inherited from a deceased relative, it’s essential to work with a qualified intermediary.

1031 Exchange – Your Ticket to Capital Gains Tax Deferral

A 1031 exchange might be your ticket to saving money in capital gains taxes when selling qualifying real estate. In order to defer all of your capital gains tax burden, you need to meet certain benchmarks and timing requirements. It’s important to talk with a qualified intermediary early in the process so that you can set yourself and your exchange up for success. CPEC1031, LLC has been working on exchanges under section 1031 of the Internal Revenue Code for more than two decades. Let us help you set your exchange up for maximum tax deferral.

• 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.

© 2026 Copyright Jeffrey R. Peterson All Rights Reserved

Video – Rethinking 1031 Exchanges of Farmland

The problem with farmland is that the cash-on-cash returns are not that lucrative. Institutional grade investment commercial real estate can provide an alternative because it offers a higher rate of yield, and a more steady and reliable source of income. Furthermore, if you purchase it through a DST (Delaware Statutory Trust) it’s a divisible asset that can be divided up amongst your heirs upon your passing with a stepped up basis.

Exchange Your Property with Section 1031

Defer your capital gains taxes when you exchange like-kind property for like-kind property under section 1031 of the Internal Revenue Code. At CPEC1031, our qualified intermediaries are here to help you navigate the 1031 exchange process from beginning to end. We have more than twenty years of experience facilitating transactions under section 1031 and can help ensure that you are set up for success. Contact us today at our Twin Cities office in downtown Minneapolis to learn more about the process and get your 1031 exchange started!

• 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.

© 2026 Copyright Jeffrey R. Peterson All Rights Reserved

Video – What to Do When One Partner Doesn’t Want to Do a 1031 Exchange?

Sometimes real estate is owned by an LLC that’s taxed as a partnership and not all of the members want to do a 1031 exchange. They would rather get out of the entity before a sale takes place so that they can take their share of the net proceeds independent from the LLC and deal with the tax consequences. This is sometimes called a TIC (Tenancy in Common) out. The reason that you want to TIC them out is that they don’t want to go along with the rest of the entity and do a 1031 exchange. Rather, they simply want to take their cash and pay their taxes. If you’re going to TIC someone out you need to make sure that you actually transfer the benefits and burdens of ownership. You need to deed them their interest. You want to assign their share of the seller’s rights and obligations in the purchase agreement. You want to notify the insurance company to add an additional insured (the new tenant in common owner). You may also want to talk to your lender that holds the mortgage and get their consent to this transfer.

Find a 1031 Qualified Intermediary

Find a qualified intermediary to help with your next 1031 exchange by reaching out to the team at CPEC1031, LLC. We have been working in the 1031 exchange industry for more than two decades. Our team can help you through all the stages of your 1031 exchange – from document preparation, to property identification, all the way to the closing table. Set yourself up for success by working with a qualified intermediary. We can make sure that you have the best shot at deferring 100% of your capital gains taxes when selling 1031 property.

• 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.

© 2026 Copyright Jeffrey R. Peterson All Rights Reserved

Video – Different Kinds of 1031 Exchanges

Forward Exchange

In a forward 1031 exchange, you sell your relinquished property first and you acquire the replacement property second. You can exchange into a single replacement property or multiple replacement properties.

Reverse Exchange

Another option is a reverse 1031 exchange, in which the intermediary acquires the replacement property and holds it for the benefit of the taxpayer. There are two different modalities of a reverse exchange:

1. The Back Leg Reverse Exchange. In this type of exchange, the qualified intermediary acquires the replacement property and holds it for the benefit of the taxpayer.

2. The Front Leg Reverse Exchange. If you can’t park the replacement property for some reason (for example, if your buyer flakes at the last minute), you can do a front leg reverse exchange. In this modality, the intermediary becomes the synthetic purchaser of your old relinquished property to liberate the taxpayer so they can acquire the replacement property.

The Build-to-Suit Exchange

In a build-to-suit 1031 exchange, you sell your relinquished property, put the sales proceeds with the intermediary, who then uses that money through an Exchange Accommodation Titleholder to buy the replacement land. Within the remaining 180 day exchange period, they construct improvements on the property. Let’s say you have a sale of $2 million and a purchase value of only $1.8 million. How do you resolve this $200K discrepancy? Have the intermediary erect improvements during the exchange period so when you receive the replacement property it’s worth at least $2 million.

Call CPEC1031, LLC Today

If you are interested in selling a piece of investment real estate but you don’t want to deal with the associated capital gains tax burden, then a 1031 exchange might be a good option for you! In a 1031 exchange, you can defer your capital gains taxes so long as you meet certain criteria. At CPEC1031, LLC we are here to help you through every step in the like-kind exchange process. We can prepare your documents, ensure you hit the 1031 exchange benchmarks, and answer all of your questions along the way. Get started with your 1031 exchange by giving us a call today!

• 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.

© 2026 Copyright Jeffrey R. Peterson All Rights Reserved