Qualified Intermediary Partnerships
1031 Exchange DST works together with our Qualified Intermediary partners to complete the exchange process for our client. The role of the QI, also known as the facilitator or accommodator, is to facilitate the 1031 exchange transaction and as a matter of fact, by definition, a 1031 Qualified Intermediary (QI) is an independent and professional facilitator who receives the funds. They handle the funds from the original sale and hold the funds until they are needed to purchase the new exchange (replacement) property. The QI then directly delivers the money to the closing agent who then, in turn, delivers the deed directly to the real estate investor themselves.
A QUALIFIED INTERMEDIARY IS RESPONSIBLE FOR PERFORMING THE FOLLOWING ACTIVITIES IN A 1031 EXCHANGE:
- Acquiring the Relinquished Real Estate Property from the taxpayer himself.
- Transferring the Relinquished Real Estate Property to the buyer himself.
- Acquiring the Replacement Real Estate Property from the seller himself.
- Transferring the Replacement Real Estate Property to the taxpayer himself.
The 1031 Exchange Qualified Intermediary is a crucial part of any successful 1031 Exchange transaction. You should therefore exercise significant care when choosing your Qualified Intermediary because of the critical role the company will play in the administration of your 1031 Exchange transaction. At 1031 Exchange DST, we provide connections to trusted, and reliable qualified intermediaries. that can help us throughout the process.
