What Happens When You Sell a 1031 Exchange Property?



When a taxpayer sells a property in a 1031 exchange, two key countdowns start. The first is the 45-day period for identifying one or more like-kind replacement properties. The second is the 180-day period during which the taxpayer must complete the purchase of the replacement property, and the Qualified Intermediary (QI) must transfer the funds into the investor’s account.