The 1031 Exchange Timeline 45-day rule is set by the IRS to ensure that you identify a replacement property in 45 days or less. The 1031 Exchange Timeline 45-day rule states you have 45 days to identify a like kind property on the day your current property closes, and the funds are in a qualified intermediary. The qualified intermediary is a critical piece to ensure a successful 1031 exchange. You cannot take constructive receipt of the funds from the sale of your property. There are more in-depth rules within the 1031 Exchange Timeline 45-day rule. These rules include:
These rules state that you must identify 3 like kind properties, identify unlimited properties as long as the cumulative value does not exceed 200%, and identify unlimited number of properties as long as you acquire 95% of the total value of the properties identified. These rules and 1031 Exchange Timeline requirements can be stringent and hard to accomplish. This is why we recommend to our clients that you do a 1031 exchange DST into a pool of investment properties. If you are not familiar with the 1031 exchange DST (Delaware Statutory Trust) we can explain the process to you by submitting the contact form below. A 1031 Exchange DST can help alleviate some of these stringent rules and make the exchange process a quicker and pain free process. If you have more questions regarding the 1031 exchange timeline 2022 rules, please contact us by calling our office at (408) 836-3858, filling out the form below, or email Sid@lightpathcapital.com.
If you feel like you will not be able to meet the 1031 Exchange Timeline, then we suggest doing a1031 exchange DST investment. We can help you get educated on the 1031 exchange DST rules,qualifications, and investment strategy. Simply fill out the form below, call (408) 836-.3858, emailSid@LightpathCapital.com, or schedule an appointment via calendly.com/sidjainmymoneymallwith a qualified representative today!