Many taxpayers who have never done a 1031 exchange before wonder what a qualified intermediary is and whether they need one for their exchange. Below we will briefly explain the role of a qualified intermediary during a 1031 exchange as well as the benefits of hiring a QI. Call us today to start your 1031 exchange of real property or personal property. Our Minnesota qualified intermediaries are available to answer all of your questions and help you through all the steps of your exchange – 218.831.1031.
What Does a Qualified Intermediary Do?
Qualified intermediaries are 1031 exchange professionals who are well versed in the tax code and experienced with facilitating exchanges. This video explains the role of the qualified intermediary in a 1031 exchange transaction:
Benefits of Hiring a Qualified Intermediary
There are many benefits to having a qualified intermediary by your side during your 1031 exchange. A 1031 intermediary can:
- Prepare all of the necessary documents for your exchange
- Make sure that you abide by the 1031 time frames and other regulations
- Insulate you from receiving any of the sales proceeds from the sale of your relinquished property
- Walk you through the 1031 process and advise you on the best courses of action
- Ensure that your exchange is a success
For example, if you are exchanging an apartment complex in downtown Mankato for a hotel in North Mankato, a qualified intermediary can draft all of your 1031 documents and make sure that you identify and complete your exchange within the required time periods.
Mankato Qualified Intermediaries
1031 exchanges are a great way of deferring your taxable gains and keeping your money working for you over time. Whether you’re exchanging real estate or personal property, a qualified intermediary should be a part of your 1031 team. Our intermediaries have been providing 1031 exchange services to taxpayers in Mankato, North Mankato, and throughout the state of Minnesota for many years. Give us a ring today to talk about your 1031 exchange and make sure you have all of your bases covered. – 218.831.1031.
