Getting off to the right start is one of the keys to a successful exchange. If possible, make sure you include language regarding your intent to complete an exchange in your real estate listing agreement. When you negotiate a sale or purchase, make sure you or your sales professional include a provision in the Buy-Sell Agreement clarifying your intent to complete a tax-deferred exchange. Use our sample language if you desire.
You need to consult early with your accountant and other professional advisors. At the same time, contact us early too, because even though we cannot offer tax advice or legal advice, we can point you in the right direction and facilitate the efforts of other professionals who are working with you to complete the transaction.
Most importantly, when Buy-Sell Agreements have been signed, provide us copies as quickly as possible. We can then prepare the Exchange Agreement between you and our company and all the other exchange documents necessary to comply with the IRS regulations and Code Section 1031. We will work closely with the closing escrow agents and title companies to assure the exchange closing takes place smoothly on both your relinquished property and your replacement property.
