Many people may think CPEC1031 facilitates only large or complex transactions, but we also act as the third party administrator for 1031 exchanges of smaller residential rental properties.
Like-Kind Exchanges of Residential Rental Property
Here are some tips for conducting a like-kind exchange of residential rental properties:
- Put language in the sale and purchase contract evidencing your intent that the sale/purchase is part of a 1031 exchange and obtain the other parties cooperation.
- Let your real estate agent and title closing/escrow agent know early that you are conducting a 1031 exchange and ask them to coordinate with the qualified intermediary.
- Get set up with your qualified intermediary well prior to the closing of your sale. If you wait until after the sale has occurred, it will be too late to insulate yourself from receiving the proceeds or giving the requisite written notice to the other parties.
- Start exploring your replacement property purchase options early so you can get a jump on the 45 day identification period.
We are fast, and responsive to client inquires even if the transaction is small, because it’s important to the people involved.
- 1031 Hotline: If you have questions about 1031 exchanges of residential rental properties, feel free to call me at 612-643-1031.
Defer the tax. Maximize your gain.
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