What’s a Reverse Exchange? скачать в хорошем качестве

What’s a Reverse Exchange?

The Internal Revenue Service issued Revenue Procedure 2000-37 on September 15, 2000, which provides a safe-harbor for how to properly structure a Reverse 1031 Exchange transaction. In a regular deferred exchange, an investor has 45 days to identify potential replacement property. Once the identification deadline passes, the investor is locked into that list of potential properties, and has to close on one or more of those properties within 180 days in order to complete a successful 1031 exchange. In a seller’s market with low inventory, these time frames can be very challenging. By contrast, a reverse exchange, allows an investor can take the time to find the perfect replacement property.