What property qualifies for Like-Kind Exchange?
Both the property you sell and the replacement property you buy must meet certain requirements. Both properties must be held for use in a trade or business or for investment. Property used primarily for personal use, like a primary residence or a second home or vacation home, does not qualify for like-kind exchange treatment. Both properties must be similar enough to qualify as “like-kind.” Like-kind property is property of the same nature, character or class, like apartments, condos, duplexes, triplex, fourplex, commercial buildings, raw land and rental homes, all considered to same class. Time limits to complete a 1031 Deferred Like-Kind Exchange While a like-kind exchange does not have to be a simultaneous swap of properties, you must meet two time limits or the entire gain will be taxable. These limits cannot be extended for any circumstance or hardship except in the case of presidentially declared disasters. The first limit is that you have 45 days from the date you sell the relin
