Reverse Exchange Structuring
Exchange accommodation titleholder planning, financing support, and compliance documentation.
Overview
Reverse exchange structuring coordinates acquisition before sale with qualified intermediary support for Phoenix, AZ investors. This strategy allows investors to acquire replacement property before selling the relinquished property, providing flexibility in competitive markets.
We coordinate with qualified intermediaries to structure either an exchange accommodation titleholder arrangement or a reverse Starker exchange. The process includes timeline coordination, funding coordination, and compliance documentation to ensure Phoenix investors maintain exchange eligibility.
Highlights
- Entity diagrams showing parking arrangements, guarantees, and exit steps.
- Loan coordination detailing collateral, covenants, and guarantor obligations.
- Holding cost modeling to forecast cash requirements during the parking period.
What's Included
- Exchange accommodation titleholder coordination
- Timeline coordination for acquisition and sale sequencing
- Funding coordination and escrow management
- Compliance documentation and IRS reporting support
- Qualified intermediary selection and coordination
- Title company coordination for dual closings
- Risk assessment and mitigation planning
- Form 8824 preparation support
Educational content only. Not tax, legal, or investment advice. A 1031 exchange defers federal and Arizona income tax on qualifying real property. It does not remove state or county transfer taxes.
Frequently Asked Questions
How does a reverse exchange work in Phoenix, AZ?
A reverse exchange in Phoenix, AZ allows investors to acquire replacement property before selling the relinquished property. An exchange accommodation titleholder holds title to the replacement property until the relinquished property sale closes, then transfers title to complete the exchange.
What are the timeline requirements for reverse exchanges in Phoenix, AZ?
Phoenix, AZ reverse exchanges must complete the sale of the relinquished property within one hundred eighty days of acquiring the replacement property. The identification period does not apply since replacement property is acquired first.
What identification rules apply to reverse exchanges in Phoenix, AZ?
Reverse exchanges in Phoenix, AZ do not require formal identification since the replacement property is acquired before the relinquished property sale. The exchange accommodation titleholder structure ensures compliance.
What is boot and how is it handled in Phoenix, AZ reverse exchanges?
Boot in Phoenix, AZ reverse exchanges includes any cash or non like kind property received. Boot is subject to immediate taxation. We help structure transactions to minimize boot exposure.
Do you coordinate with qualified intermediaries for Phoenix, AZ reverse exchanges?
Yes. We work with qualified intermediaries who provide exchange accommodation titleholder services for Phoenix, AZ reverse exchanges. Coordination includes funding, title transfer, and compliance documentation.
Related Services
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