1. Engage a qualified intermediary before you sell
Set up your QI before closing the sale — they must receive the proceeds. If you take the cash first, the exchange is dead.
2. Sell and identify (45 days)
Close the sale; the QI holds the funds. Within 45 days, formally identify replacement property in writing (commonly up to three properties).
3. Close the replacement (180 days)
Purchase the replacement through the QI within 180 days of the sale. Reinvest all equity and match your old debt to fully defer the tax.
Frequently asked questions
What's the first step in a 1031 exchange?
Engage a qualified intermediary before you close the sale — you can't touch the proceeds.
How long do I have to complete a 1031?
45 days to identify and 180 days to close, from the sale date.
Sources
Educational information and estimates only. Not tax advice. Tax rules change and vary by situation; consult a qualified tax professional before acting.