Coordinate Your Property Sale and Purchase in One Transaction
A Simultaneous 1031 Exchange occurs when the sale of the relinquished property and acquisition of the replacement property take place at essentially the same time.
Although less common than a delayed exchange, a simultaneous exchange can be an effective strategy when both transactions can be carefully coordinated.
How a Simultaneous Exchange Works
The relinquished property is sold while the replacement property is acquired as part of the same coordinated transaction.
Because both sides of the exchange must be carefully synchronized, timing and coordination between the parties involved are especially important.
Potential Advantages
- Coordinate the sale and purchase together
- Minimize the transition between properties
- Avoid an extended identification period
- Create a streamlined exchange timeline
- Maintain continuity between transactions
When Is a Simultaneous Exchange Appropriate?
This structure may be considered when an investor has already identified a replacement property and both transactions can be scheduled and coordinated effectively.
Discuss Your 1031 Exchange
Every transaction is different. Aspen 1031 can help you understand your available exchange options.