What are the different 1031 Exchange structures?
Simultaneous (Concurrent) Exchange: The exchange (disposition) of the relinquished property (sale property) and the purchase of the like-kind replacement property occurs at the same time. Forward (Delayed) Exchange: This is the most common structure or form for most 1031 exchange transactions today. A Forward (Delayed) Exchange occurs when there is a time delay between the transfer (conveyance) of the relinquished property (sale property) and the purchase of the like-kind replacement property. A Forward (Delayed) Exchange is subject to specific time limits, which are set forth in Section 1.1031 of the Department of the Treasury Regulations. Reverse Exchange: A transactional structure where the like-kind replacement property is purchased first, prior to transferring (conveying or selling) the relinquished property to the actual buyer. The Internal Revenue Service provided guidelines (safe harbors) for structuring reverse 1031 exchange transactions, as outlined in Revenue Procedure 2000-
