When it comes to managing the ins and outs of 1031 tax exchanges, there are a number of details to keep straight. Luckily, you won't be going it alone in the land of tax exchanges: if you've planned your game right, you'll enter your first (or next) 1031 exchange with the assistance of a qualified intermediary. In the world of 1031 exchanges, qualified intermediaries are what keep everything ticking: your qualified intermediary will help you manage your 1031 tax exchange from start to finish, blithely covering all the details from the moment you decide to pursue a 1031 exchange to the moment you file your tax return the following April. Qualified intermediaries, then, leave you free to manage your properties - not run around town tackling tiny details.

Setting up your 1031 tax exchange, then, is never easier than with the help of a qualified intermediary. You'll begin by submitting basic personal information: your own name, address, telephone number(s), and email address. Remember to provide phone numbers and email addresses where you can be contacted easily: your qualified intermediary will likely need to speak with you during business hours to ensure that everything is running smoothly.

You'll next need to provide information about your relinquished property: the one you are selling at this time. This is important because the details of the relinquished property are required to complete the exchange. Provide the address, city, state, and zip code of the property you are relinquishing - as well as details about the closing agent(s) or escrow officer(s) on the sale. Remember that your qualified intermediary will need to be able to contact the closing officer for the relinquished property - so provide accurate contact information. You will also need to provide the name of person or entity who has purchased your relinquished property. This information is a requirement of the 1031 exchange process.

You will then need to provide information about your current real estate agent. Generally, this is the individual or organization who assisted you in the sale of your relinquished property and is helping you in your search for a replacement property.

One important note is that you do NOT need to have identified your replacement property (the property that you intend to purchase) before setting up a 1031 exchange. Once the exchange is in motion, you will be subject to a 45-day period during which you must legally identify the property you choose to purchase - but you do not have to identify the property you wish to buy before you begin the process of a 1031 tax exchange.