Real estate closing agents need to be aware of a lot of different elements when facilitating the closing process. When an involved property is part of a 1031 exchange, things get even more complicated. In this article, we are going to discuss how real estate closing agents can properly handle 1031 exchanges of investment real estate.
Contact the Parties Involved
Despite our recommendations, taxpayers often want to jump on the 1031 exchange train very late in the process – perhaps right before they are set to close on a property. If nobody has made arrangements for a 1031 exchange and it’s time to close on the property, time is of the essence.
As a closing agent, the best course of action is to contact the party that intends to do the 1031 exchange and ask them the following questions:
Is the property you are selling your 1031 exchange relinquished property?
Have you started the 1031 exchange process with a qualified intermediary?
These two basic questions will give us the pertinent information needed to facilitate the closing of the 1031 exchange property.
Contact CPEC1031, LLC
Contact CPEC1031, LLC today to learn more about the 1031 exchange process and how you can defer capital gains taxes on the sale of real estate. We have been facilitating 1031 exchanges of real property for over two decades. Let us put our experience to work for you on your next 1031 exchange. We can answer all of your questions and prepare all of your documents to ensure your exchange is a success. Reach out to our team today to start your 1031 exchange!
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.
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