10 Easy Steps to Tax Savings Utilizing a 1031 Exchange
- Sign Listing Agreement to sell relinquished property.
- Sign Agreement of Sale with Buyer.
- Retain 1031 CORP. as your Qualified Intermediary (QI).
- 1031 CORP. prepares documents and provides closing/escrow officer with instructions.
- Closing takes place and proceeds are forwarded to 1031 CORP. and placed into exchange deposit account.
- The 45-Day Identification Period and 180-Exchange Period begin.
- Identify replacement properties to 1031 CORP.
- Sign Agreement of Sale for new property and use exchange proceeds for deposit.
- QI provides closing/escrow officer with instructions and transfers exchange funds.
- Replacement property is acquired and exchange completed.