Does the q.i. take title to the properties?
No, the qualified intermediary does not take title to the properties in a simultaneous or deferred exchange. In each case, the properties are deeded directly by the taxpayer to the buyer, and from the seller of the replacement property to the taxpayer. In a reverse exchange, however, title to either the relinquished property or the replacement property (but not both) must be conveyed to a “qualified exchange titleholder” and then, at the conclusion of the exchange, to the party entitled to the conveyance of the property.
