180-Day Exchange Period
The 180-Day Exchange Period is the timeframe in a 1031 exchange during which the exchanger must complete the purchase of the replacement property after the sale of the relinquished property closes. This deadline runs concurrently with the 45-day identification period and is a critical requirement for a valid exchange.
45-Day Identification Period
The 45-Day Identification Period is the timeframe in a 1031 exchange during which the exchanger must identify potential replacement property in writing after the sale of the relinquished property closes. Missing this deadline may disqualify the exchange from tax-deferred treatment.
721 UPREIT
A 721 UPREIT is a tax-deferred transaction in which an investor contributes investment real estate to a REIT’s operating partnership in exchange for OP units rather than cash. This is a sophisticated tax and securities topic, so any real transaction should be reviewed by a qualified tax advisor and securities professional.
95% Rule
The 95% rule also allows real estate investors to identify an unlimited number of replacement properties for the property being relinquished. But unlike the 200% rule that puts a limit on the total value of the identified replacement properties, the 95% rule requires the investor to actually purchase 95% of the aggregate value of the replacement properties identified.
200% Rule
The 200% Rule allows the investor to identify an unlimited number of replacement properties, provided the combined total value of these properties does not exceed 200% of the value of the property being relinquished.
