Connecticut 1031 Exchange Rules
Connecticut 1031 Exchange Rules
1031 Identification Rules
Connecticut 1031 Exchange Rules require connecticut property investors to identify like kind
connecticut commercial properties for replacement within 45 days of the close of escrow on the relinquished connecticut commercial property. Furthermore, all replacement
connecticut commercial properties must be acquired within 180 days of close on the relinquished connecticut commercial property. All
connecticut 1031 exchanges must comply with one of the follow three rules:
The Three-Connecticut Commercial Property Rule - This rule allows the exchanger to identify up to, but no more than 3 potential connecticut commercial properties as qualified replacement connecticut commercial properties within the allotted time frame.
The Two Hundred Percent Rule - Stipulates that, if three or more replacement connecticut commercial properties are used in the exchange, their aggregate value must not exceed 200% of the value of the connecticut commercial property that is being relinquished.
The Ninety-five Percent Exception - Finally, if circumstances are such that rules 1 and 2 do not apply, the aggregate value of the like kind replacement connecticut commercial properties must account for at least 95% of the value of the relinquished connecticut commercial property at the time of sale in order for the exchange to qualify.
To find out more, contact us and we will put you in touch with a connecticut 1031 broker in your area.