Wednesday, March 01, 2006
Asheville Real Estate Journal
Asheville Real Estate Journal
Checklist for finding a 1031 Like Kind Exchange Qualified Intermediary
These days it seems that more and more of our clients are opting to exercise a “Green-Sustainable” 1031 Exchange…
This is the first time quite a number of them have taken an interest in this tax advantage. One of the essential elements in the 1031 Exchange is the successful hunt for an the required ACCOMMODATOR. So here’s a Checklist for finding a Qualified Intermediary as required in the 1031 Like-Kind Exchange process.
_____ Is the QI/Accommodator a bona fide member of the FEDERATION OF EXCHANGE ACCOMODATORS (FEA)?
_____ Does the Accommodator hold a Certified Exchange Specialist™ designation?
_____ Is the firm bonded by an insurance company?
_____ Will the firm provide a copy of the bond?
_____ What is the Qualified Intermediary’s professional background? (Attorney? CPA? with 1031 experience?)
_____ Will the QI take responsibility for losses if a mistake is made or the transaction does not qualify with the IRS?
_____ Who receives the interest on the escrow account? (The Accommodator may quote a low fee as a tradeoff for receiving the escrow interest.)
_____ Is the QI accessible not only to you, but also to your real estate professional? Is he willing to meet with your REALTOR® face-to-face?
_____Since other experts including your real estate professional will be involved in order to assure due diligence, review documents, handle financing…is the QI a team player?
____ Will and adequate paper trail be created?
_____ Is the QI accustomed to handling the type and size of transaction similar to yours?
_____ Does the QI have a specialty? Sustainable properties? Agricultural land?
MORE Really Useful Asheville Real Estate and 1031 INFO:
http://www.janeanne.com/resources.asp
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Checklist for finding a 1031 Like Kind Exchange Qualified Intermediary
These days it seems that more and more of our clients are opting to exercise a “Green-Sustainable” 1031 Exchange…
This is the first time quite a number of them have taken an interest in this tax advantage. One of the essential elements in the 1031 Exchange is the successful hunt for an the required ACCOMMODATOR. So here’s a Checklist for finding a Qualified Intermediary as required in the 1031 Like-Kind Exchange process.
_____ Is the QI/Accommodator a bona fide member of the FEDERATION OF EXCHANGE ACCOMODATORS (FEA)?
_____ Does the Accommodator hold a Certified Exchange Specialist™ designation?
_____ Is the firm bonded by an insurance company?
_____ Will the firm provide a copy of the bond?
_____ What is the Qualified Intermediary’s professional background? (Attorney? CPA? with 1031 experience?)
_____ Will the QI take responsibility for losses if a mistake is made or the transaction does not qualify with the IRS?
_____ Who receives the interest on the escrow account? (The Accommodator may quote a low fee as a tradeoff for receiving the escrow interest.)
_____ Is the QI accessible not only to you, but also to your real estate professional? Is he willing to meet with your REALTOR® face-to-face?
_____Since other experts including your real estate professional will be involved in order to assure due diligence, review documents, handle financing…is the QI a team player?
____ Will and adequate paper trail be created?
_____ Is the QI accustomed to handling the type and size of transaction similar to yours?
_____ Does the QI have a specialty? Sustainable properties? Agricultural land?
MORE Really Useful Asheville Real Estate and 1031 INFO:
http://www.janeanne.com/resources.asp
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