To concurrently transfer ownership of both the relinquished property and the replacement property.
A property is sold and within 180 days, a replacement property is purchased.
The replacement property is identified and purchased before the relinquished property is sold.
When the exchanger wishes to either make improvements to an identified replacement property, or construct a new replacement property.
What Does Not Qualify for a 1031 Exchange?
Personal property that does not qualify under IRS guidelines includes:
Stock in trade or other property held primarily for sale
Stocks, bonds or notes
Other securities or evidence of indebtedness or interest
Interest in a partnership
Certificates of trust or beneficial interests