REVERSE 1031 EXCHANGE

In addition to deferred exchanges, exchanges may also be done in reverse. In the typical reverse exchange, the taxpayer hires and funds an Exchange Accommodation Title Holder (EAT) to acquire the new property and hold the new property in escrow. Following the sale of the old property, the Qualified Intermediary acquires the new property from the EAT and conveys the new property to the taxpayer in conclusion of the exchange.

Similar 45 day and 180 day time limits are imposed on the reverse exchange.

Learn about some of the common misconceptions then contact Exchange Authority to ensure a successful and safe exchange transaction.