Timing is an important factor in any 1031 real estate exchange. In this article, we are going to talk about how much time you have to complete a typical 1031 exchange of real estate.
Standard Time Frames
The answer to the question at hand largely depends on where you are in the 1031 exchange process. Have you already sold your relinquished property? Are you still in the planning stages? These are all important questions to take into consideration.
As we have discussed before, there are some standard time frames that you need to follow when conducting a 1031 exchange of real estate. The big numbers you need to keep in the back of your mind are 180 and 45. You have a total of 180 days to complete your exchange, starting when you sell your relinquished property. If your exchange is not complete by midnight of the 180th day, your exchange will fail and you will not be able to defer your capital gains taxes. You also have the first 45 days of your exchange period in which to identify your replacement property.
You can calculate your 1031 exchange deadlines and time frames with our free online calculator.
1031 Exchange Facilitators
Section 1031 of the Internal Revenue Code is available to all US taxpayers and can significantly reduce the amount of taxes owed on the sale of real estate. If you are at all interested in the tax-deferral benefits of a like-kind exchange, contact the qualified intermediaries at CPEC1031, LLC. With over twenty years of experience, our 1031 exchange facilitators have the knowledge and experience needed to guide you through every step of your exchange. Contact us today at our office in downtown Minneapolis to set up a time to chat with our team of 1031 exchange professionals.
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.
© 2020 Copyright Jeffrey R. Peterson All Rights Reserved