Investment property exchange services inc is a company that specializes in facilitating 1031 exchanges for investment property owners. 1031 exchanges allow investors to defer capital gains taxes when selling one investment property and reinvesting in another. By reviewing investment property exchange services inc, investors can better understand how this company can help them execute tax-deferred 1031 exchanges and optimize their investment property portfolios. This article will provide an in-depth look at investment property exchange services inc’s services, fees, process, and reputation to help investors decide if this is the right 1031 exchange company for their needs.
Overview of 1031 Exchanges and How investment property exchange services inc Facilitates Them
A 1031 exchange allows real estate investors to sell an investment property, use the proceeds to acquire a new investment property while deferring capital gains taxes. To qualify as a 1031 exchange, the relinquished and replacement properties must be like-kind real estate held for investment or business use. The transaction must be structured as a simultaneous swap of properties or a delayed exchange through a qualified intermediary like investment property exchange services inc. As a qualified intermediary, investment property exchange services inc handles all aspects of the 1031 exchange process including drafting exchange documents, holding exchange funds in escrow, coordinating the timing of property sales and acquisitions, and filing documents with the IRS. investment property exchange services inc essentially acts as a neutral third party to facilitate the exchange so the investor does not have actual or constructive receipt of the exchange proceeds, which would disqualify the exchange.
Services Offered by investment property exchange services inc
investment property exchange services inc provides a full range of services to help investors complete 1031 exchanges:
– Education and consultation on 1031 exchange requirements and strategies
– Preparing and reviewing all exchange documents
– Serving as qualified intermediary to hold exchange proceeds and coordinate the exchange process
– Guidance on identifying and acquiring suitable replacement property
– Regional offices and exchange coordinators to support investors through every step
– Tracking exchange-related deadlines and sending reminders
– Preparing year-end tax forms for reporting the exchange
– Offering exclusive access to their National Property Database to help investors find replacement property
In addition to these core 1031 exchange services, investment property exchange services inc provides specialized exchange solutions like build-to-suit exchanges, reverse exchanges, and improvement exchanges. Their national reach, focus on technology, and expertise across all types of exchanges make them a leading 1031 facilitator.
Fees Charged by investment property exchange services inc
investment property exchange services inc charges competitive fees for their 1031 exchange services. Their fee structure is as follows:
– $695 flat rate for exchanges up to $1.5 million
– $795 flat rate for exchanges from $1.5 million to $3 million
– $995 flat rate for exchanges over $3 million
– $150 per additional property over one replacement property
– $150 for reverse or improvement exchanges
These exchange fees cover preparation of all exchange documents, acting as qualified intermediary, holding exchange funds in escrow, tracking deadlines, handling all exchange logistics, and filing paperwork with the IRS. investment property exchange services inc does not earn any interest on exchange funds held in escrow. There are no upfront retainer fees or hidden charges. Their clear, flat-rate pricing makes it easy for investors to budget for exchange fees.
The 1031 Exchange Process with investment property exchange services inc
When working with investment property exchange services inc, the typical 1031 exchange process goes as follows:
1. Investor contacts investment property exchange services inc and provides information on their current property and 1031 goals.
2. investment property exchange services inc prepares the exchange agreement, assigns an exchange coordinator, and provides consulting on exchange strategy.
3. Investor signs agreement and deposits earnest money for replacement property.
4. investment property exchange services inc sets up escrow account to hold exchange proceeds when current property is sold.
5. Current property closes and proceeds are sent directly to investment property exchange services inc’s escrow account.
6. investment property exchange services inc disburses funds from escrow account for investor to complete purchase of replacement property within the 180-day exchange period.
7. investment property exchange services inc files final paperwork with IRS documenting the exchange.
investment property exchange services inc handles all the logistics, paperwork, and coordination with real estate agents, lenders, and escrow companies while keeping the investor updated at every step. Their exchange coordinators have extensive 1031 experience to help guide investors through the process.
investment property exchange services inc is a national qualified intermediary that helps real estate investors defer capital gains taxes by facilitating 1031 exchanges. They offer a full suite of exchange services and support for a flat fee starting at $695. By handling all aspects of the exchange process and coordinating complex multi-leg exchanges, investment property exchange services inc simplifies executing 1031 exchanges so investors can focus on finding optimal replacement property and pursuing their investment goals.