Question 1

How many days do you have to identify a replacement property in a 1031 exchange?

Accepted Answer

45 calendar days from the day your relinquished property closes. Day one is the day after closing. The deadline does not move for weekends or federal holidays — if day 45 is a Sunday, the deadline is that Sunday. Identification must be in writing, signed, and delivered to your qualified intermediary before midnight.

Question 2

How many days do you have to close a 1031 exchange?

Accepted Answer

180 calendar days from the closing of the relinquished property, or the due date of your tax return for the year of the sale, whichever comes first. The 45-day and 180-day periods run at the same time — the 180 days are not counted from the identification date.

Question 3

Does filing a tax extension extend a 1031 exchange?

Accepted Answer

Filing a valid extension for the tax year in which the relinquished property sold restores the full 180 days. Without an extension, a sale late in the year gives you fewer than 180 days, because the tax return due date arrives first. This is the single most common way exchangers lose time they were entitled to.

Question 4

What are the three 1031 identification rules?

Accepted Answer

The Three Property Rule: identify up to three properties of any value. The 200% Rule: identify any number of properties whose combined fair market value does not exceed 200% of what you sold. The 95% Rule: identify any number of properties of any value, provided you actually acquire at least 95% of the total value identified.

The 1031 clock started
the day you closed.

Both clocks run at the same time

Three ways to identify

The Three Property Rule

The 200% Rule

The 95% Rule

The harder question is what the replacement has to earn.

The 1031 clock startedthe day you closed.