1031 coordination
A 1031 exchange defers capital gains tax on investment real estate — but the rules are unforgiving. Miss the 45-day identification window or the 180-day close window by one day and the whole exchange fails. We track the calendar, run the boot and basis math, and file the exchange correctly on your return. You'll arrange your own qualified intermediary to hold the proceeds — by rule that has to be an independent third party, which is why it isn't us.
What this is
A 1031 like-kind exchange lets a real estate investor sell one investment property and roll the proceeds into another 'like-kind' investment property — deferring the capital gains tax that would otherwise be due in the year of sale. It applies to investment or business real estate only, never a personal residence.
The exchange clock
Day 0
Closing on the relinquished property starts both clocks.
Day 45
Formally identify your replacement candidates (3-property or 200% rule).
Day 180
Close on a replacement — the earlier of 180 days or your return due date.
No extensions for weekends, holidays, or shutdowns.
Who does what
The role that holds your money has to be independent — so you bring your own. Here’s how it splits.
You
Your qualified intermediary
Us
What we coordinate
1031 coordination
By day 45, you must formally identify up to three replacement candidates (the '3-property rule') or unlimited properties whose aggregate value doesn't exceed 200% of the sold property ('200% rule'). We help you structure the identification document.
1031 coordination
If you don't fully reinvest proceeds or take on less debt on the replacement, that's 'boot' and triggers partial gain recognition. We calculate it ahead of closing so there are no surprises.
1031 coordination
The IRS form reporting the exchange on your tax return. Detailed schedule of relinquished and replacement properties, basis adjustments, and any boot received.
1031 coordination
Your basis in the replacement property is your basis in the relinquished property plus any new debt taken on plus any cash added. This basis carries forward and matters at every future sale.
The fine print
First, the 180-day window is really the earlier of 180 days or your tax-return due date — so a sale late in the year can mean extending your return to use the full window. Second, the most common failure is identifying a single property at day 44 that falls through at day 100, with no time to find another. We build in slack — identifying three candidates when possible, and starting due diligence before day 45.
Common questions
Often paired with
Trust returns
A parent passed, a revocable trust became irrevocable, and now you're the trustee.
ExploreEntity setup
Most entity setup is templated and fine — until the first tax return reveals you elected the wrong structure for your income.
ExploreCash flow planning
Most owners look at the bank balance and feel a vague sense of whether things are okay.
ExploreMost failed 1031 exchanges are failed-on-the-calendar exchanges. Get the timeline in someone's hands the day the relinquished property hits the market.