Looking For A Miracle

Comments(4)

• 
  DaveT5th November, 2003

  In a 1031 exchange, the first 45 days after the sale of your relinquished property is your identification period. You have 45 days to identify up to three replacement properties in writing to your escrow exchange agent. You have another 135 days (for a total of 180 days following the sale of your relinquished property) to actually complete the purchase of one of the replacement properties you have identified in writing.
  
  Your exchange is dead if you fail to identify your replacement property(ies) within 45 days following the sale of your relinquished property, or,
  you fail to purchase one or more of your identified properties within 180 days following the sale of your relinquished property, or,
  you take constructive receipt of the proceeds of the sale of your relinquished property at any time, or,
  you file your annual tax return for the year of the sale of the relinquished property before you have actually purchased your replacement property.Now, please tell us what "bad advice from a broker" you received.

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  daboss1686th November, 2003

  It seems like the broker was using the old rules whereby with the first 45 days you could submit a long list of potential properties. On the 45th day, the accomadator sent us the form which only allowed for 3 properties, we put down the 3 most likely properties, but were not able to successfully close on any of them.
  
  I'm looking for a miracle, something that my broker or accountant might not be aware of.
  
  I remember hearing on a radio show about some kind of bond/fund/non-real property vehicle that fulfilled the obligation. I was only half listening, so I didn't really get the full details.
  
  Any ideas? <IMG SRC="images/forum/smilies/icon_confused.gif"> [ Edited by DaveT on Date 11/06/2003 ]

• 
  DaveT6th November, 2003

  Quote:Your exchange is dead if you fail to purchase one or more of your identified properties within 180 days following the sale of your relinquished propertyBecause you did not purchase one of the identified properties, the sale of your relinquished property is a taxable event and your exchange agent should close the escrow account.
  
  I don't know what the radio show was all about, but there is no such "bond/fund/non-real property vehicle" that you can use as the replacement property in a 1031 exchange.

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  daboss1687th November, 2003

  Thanks for your replies. I guess I'll just have to bite the bullet & pay come April 15th. WOW, this hurts.