Tips on identifying replacement property in an IRC 1031 Exchange

 

bulletIdentify 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.
bulletIf 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.
bulletThe 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.
bulletIf 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.
bulletKeep in mind, once past the 45 day identification period the funds are not available to you except to buy identified replacement property. 
bulletConsider non-traditional real estate.  These will require considerable input from your tax advisor.