Tulsa Commercial Real Estate Experts: What are the Types of 1031 Exchanges?

Tulsa Commercial Real Estate Experts: What are the Types of 1031 Exchanges?



by U.S. SBA Entrepreneur of the Year & Cofounder of Fears & Clark Tulsa Commercial Real Estate Group – Clay Clark



One of the most commonly asked questions that we get when dealing with the sale or purchase of a Tulsa commercial real estate property is, "What are the types of 1031 Exchanges out there?" Another question that we get asked alot is, "What makes Braxton‘ hair look so good?" However, for this article we are just going to discuss the types of 1031 Exchanges that are out there.



A Simulaneous Exchange – A simulaneous exchange is a kind of commercial real estate deal that is very quick and very short-lived lasting for only one day. The closing of the relinquished property and the closing of the replacement property are actually done at the same time. They are executed concurrently. This is exciting, versus a Delayed Exchange where the Replacement Property is purchased after the Relinquished Property is sold. Now a Reverse Exchange is done exactly the opposite way.



The Reverse Exchange – In a Reverse Exchange, the Replacement must be purchased prior to the actual selling of th Relinqued. The Qualified Intermediary then holds the title until the taxpayers has sold the property. An Improvement Exchange is also very similar to the Reverse Exchange in many ways. The taxpayer would actually purchase the Replacement Property for the specific reason of needing ot make arrangements for construction and improvements before it can be qualified and thus classified as a replacement. The Qualified Intermediary (who is everywhere during this process) then takes the title of hte land in question for the time being. However, at the end of the day, the personal property must be specifically exchanged for its mirror-image commercial property.



For more information about the 1031 exchange program, purchasing Tulsa commercial real estate, Tulsa commercial real estate, Tulsa commercial office buildings, Tulsa office buildings, Tulsa real estate, Tulsa office space, Tulsa commercial space available and Tulsa commercial investment properties please feel free to contact our expert team of commercial real estate professionals today at 918-481-2080. Or you can visit us online at www.FearsClark.com.