Denver 1031 Exchange Rules
Denver 1031 Exchange Rules
When choosing a replacement
denver 1031 exchange denver income real estate for the denver 1031 exchange, the
denver real estate owner must follow one of the following
denver 1031 exchange rules:
The Three-Denver Income Real Estate Rule - No more than three denver income real estate regardless of their market values, may be chosen as potential replacement denver income real estate within 45 days of the close of escrow on the relinquished denver income real estate. Said denver income real estate must be acquired within 180 days of the close of escrow on the relinquished denver income real estate.
Denver 1031 Exchange Rules Continued:
The Two Hundred Percent Rule - If three or more replacement denver income real estate are used in the exchange, their total value must not exceed 200% of the value of the denver income real estate relinquished.
The Ninety-five Percent Exception - Finally, in the event that rules 1 and 2 do not apply, the exchange may still qualify assuming that the aggregate value of the replacement denver income real estate accounts for at least 95% of the value of the relinquished denver income real estate at the time of sale.
Many denver 1031 exchange denver real estate owners are drawn to TIC exchanges due to the pre-approved financing options available.