While a forward 1031 exchange allows you to sell your investment property first and buy another one later, a reverse 1031 exchange does just the opposite. If you identify a property you want but still haven’t sold your existing one, you can conduct a reverse exchange — as long as you follow the IRS’s “safe harbor” guidance.
Because they are less common than 1031 forward exchanges, not every 1031 qualified intermediary (QI) is experienced with reverse exchanges. So if you think a reverse 1031 exchange is the way to go for your business, make sure you choose a QI who can easily handle it.
As the leader in 1031 exchanges, JTC Americas offers a highly experienced team of exchange specialists who processes over $75 billion of exchange funds annually and has dealt with every 1031 exchange scenario that might arise.
So, whether you decide to conduct a forward or reverse exchange, choose a proven 1031 exchange specialist who can help make sure everything goes as smoothly as possible.