|
1031 Exchange
|
|
Enter New Glossary Term:
"Baird" Simultaneous Exchange (1962)
|
| Enter Glossary Term Description:
This method of completing the transaction utilizes the seller of the replacement property (Party B) as the accommodator. On the day of closing, A will transfer the relinquished property to B, the replacement property owner, in exchange for the replacement property. Party A has what they want; however, Party B has the relinquished property, which B does not want. Party B must now sell the A property to C for cash. In this way, B receives the cash directly from C and A has no actual or constructive receipt of the funds. |
|