Tips on identifying replacement property in an IRC 1031 Exchange
 | Identify one or two alternate replacement properties as you are not able to add or change properties after the forty-five day identification period. If you can not close on first choice, then you have a fall back property to purchase. |
| If you desire to buy more than three properties or just need to identify more than three, call our office to discuss the 200% rule for identifying replacement properties. |
| The identification period is unforgiving. Deliver your identification form before the forty-fifth day if at all possible. If you are running close to the deadline, call the office and let us know. The IRS does not allow us to accept a late identification letter under penalty of law. |
| If possible, have an earnest money contract on your first choice property before the end of your forty-five day identification period. This insures that you can buy the property on acceptable terms to you. |
| Keep in mind, once past the 45 day identification period the funds are not available to you except to buy identified replacement property. |
| Consider non-traditional real estate. These will require considerable input from your tax advisor. |