Getting started with a 1031 exchange can seem overwhelming if you’ve never done one before. That’s why it’s important to have an experienced qualified intermediary by your side to educate and advise you throughout the process. Our Mankato qualified intermediaries are available to walk you through the 1031 exchange process from start to finish. Give us a call today to start your exchange in the Mankato area – 218.831.1031.
How to Start a 1031 Exchange in Mankato
So how do you get your 1031 exchange going? Well that depends on the type of exchange in which you are engaging. Most 1031 transactions are forward exchanges, which begin with the taxpayer selling their relinquished property. They then have 180 days to complete their exchange – the first 45 of which are used to identify in writing the replacement property. Reverse exchanges are inverted, and begin with the purchase of the replacement property. All the requisite time periods remain the same in any 1031 exchange. So Ultimately, 1031 exchanges start with either the buying or selling of property – depending on the type of exchange.
That being said, savvy taxpayers do a little bit of prep work prior to the property transactions. It’s always a good idea to involve a qualified intermediary as early as possible in your exchange process. Working with an intermediary before you start your exchange can make the process go as smoothly as possible. Your QI can advise you on the types of property to exchange out of and into, and make sure you are set up for success.
Mankato 1031 Exchange Company
The 1031 exchange exists in the Internal Revenue Code to encourage economic investment and growth. Any taxpayer can take advantage of the cost-saving benefits of a 1031 exchange. If you have a piece of real estate or personal property that you’d like to sell, consider a 1031, defer your taxes, and maximize your gain. Get your Mankato 1031 exchange going today by contacting our Minnesota qualified intermediaries – 218.831.1031.
