Final 1031 exchanges Post

The 3-Property Rule – You can identify up to three potential replacement properties without regard to fair market values of the properties.

The 200 Percent Rule – You may identify any number of properties as long as their fair market value does not exceed 200 percent of the total fair market value of all Relinquished Property (ies).

Section 1031 requires that you purchase one or more new properties by the 180th day after the closing of the old property. You must purchase one or more properties on your 45-day identification list.

This is a very simplistic break-down of 1031 exchanges, but will help you to understand the basics and to understand if a 1031 is right for you.