What is the timeline for a 1031 exchange?
| Day 1 | Day 45 | Day 180 |
|---|---|---|
| Existing (relinquished) property is sold | Replacement property is identified and documented | Replacement property has been purchased and title taken |
| 45 Days | 135 Days |
Matching value: When completing an exchange, the investor must replace the relinquished property with a property of equal or greater value. Is there outstanding debt on the property being sold? That debt must be replaced on thenew property or cash must be added to the exchange to equal the amount of debt.