Before the relinquished property closes
1031 Exchange Planning Checklist
Use this checklist to organize the property, ownership, financing, timing, and professional-coordination details that may affect a 1031 exchange. It is an educational planning tool—not tax, legal, or qualified-intermediary advice.
Property and ownership
- Confirm the property is held for investment or productive use in a trade or business.
- Identify the current legal owner and taxpayer completing the exchange.
- Gather the purchase date, original cost, major improvements, and estimated adjusted basis.
- Estimate the expected sale price, selling expenses, debt payoff, and net equity.
- Discuss partnership, LLC, trust, estate, or entity changes with tax and legal counsel before closing.
Timing and qualified intermediary
- Select a qualified intermediary before the relinquished-property closing.
- Confirm the anticipated closing date and calculate the 45-day identification deadline.
- Calculate the applicable 180-day acquisition deadline, including the tax-return due-date limitation.
- Confirm who will prepare and deliver the written identification notice.
- Create a backup-property strategy before the identification period becomes compressed.
Replacement property requirements
- Define the desired property types, markets, income objectives, risk tolerance, and management preferences.
- Estimate the replacement property value and debt needed to pursue full tax deferral.
- Review the three-property, 200%, and 95% identification rules with the qualified intermediary and tax adviser.
- Determine whether one property, multiple properties, DST interests, or a blended strategy will be evaluated.
- Allow time for financing, due diligence, subscription documents, title, escrow, and closing logistics.
Professional coordination
- CPA or tax adviser: tax basis, depreciation recapture, boot, entity, and filing considerations.
- Attorney: contracts, ownership, estate-planning, and legal-document review.
- Qualified intermediary: exchange documents, funds, identification, and deadlines.
- Lender: debt replacement, qualification, loan timing, and closing conditions.
- EP1031: replacement property planning, DST and property evaluation, documentation coordination, and investment suitability process.
This checklist is for general educational purposes only and does not replace advice from a qualified intermediary, CPA, attorney, lender, or other professional familiar with your circumstances.