1031 Exchanges
1031 Timeline Calculator
Enter your relinquished-property closing date to estimate your key 1031 deadlines.
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1031 Timeline Calculator
Enter your relinquished-property closing date to estimate your 45-day identification and 180-day completion deadlines.
How the 1031 timeline works
A 1031 exchange runs 180 calendar days at most. Two deadlines control it, and both start the day you close on the property you are selling: 45 days to identify the replacement property in writing, and 180 days to close on it. The two periods run at the same time, not back to back.
- Day 0: your sale closes. Both clocks start. The proceeds go to your qualified intermediary, not to you.
- Days 1 to 45: identification period. Identify your replacement property in writing before the end of day 45. Miss it and the exchange fails.
- Days 46 to 180: completion period. Close on the replacement property. After day 45 you have 135 days left, because the 45-day window sits inside the 180-day window.
These deadlines and the identification rules are set by IRS rules - see the IRS Form 8824 instructions.
Enter your closing date above and the calculator marks both dates on the calendar so you can plan backward from them. These are estimates for general planning. They are not tax or legal advice, and your exact dates should be confirmed with your CPA or attorney.
What counts as identifying a property
A valid identification is a written notice, signed by you, delivered before the end of day 45, usually to your qualified intermediary. It has to describe each property unambiguously. A street address or a legal description generally does the job.
Two points investors often miss. You can change or revoke your list in writing any time before day 45, and it locks when the window closes. And closing on a replacement property within the 45 days generally counts as identifying it. The identification rules are technical, so confirm your list with your CPA, tax attorney, or qualified intermediary well before day 45.
How many properties you can identify
You can generally identify up to three replacement properties of any value. Identify more than three and additional limits apply. The IRS identification tests work like this:
- Three property rule. Up to three properties, regardless of their combined value.
- 200 percent rule. Four or more properties, as long as their combined fair market value does not exceed 200 percent of what your relinquished property sold for.
- 95 percent exception. If your list exceeds both rules, the exchange generally holds up only if you actually acquire at least 95 percent of the combined value of everything you identified.
Which test fits depends on your list and your prices. Confirm it with your CPA, tax attorney, or qualified intermediary before you send the identification notice.
How the days are counted
Closing day is day zero, every calendar day after it counts, and the deadlines do not move for weekends or holidays. Close on June 1 and day 45 lands on July 16, day 180 on November 28. If July 16 is a Saturday, July 16 is still the deadline. The calculator above counts the same way: it adds 45 and 180 calendar days to your closing date.
One cutoff can shorten the 180 days. If your federal tax return for the year of the sale comes due before day 180, the exchange period generally ends on the due date instead, so many exchangers who sell late in the year file an extension. The main exception runs the other way: after a federally declared disaster, the IRS sometimes grants relief that extends both deadlines for affected taxpayers. Confirm your exact dates with your CPA, tax attorney, or qualified intermediary.
Where a qualified intermediary fits
The piece investors miss is that you cannot touch the sale proceeds yourself. To defer the tax, the funds have to pass through a qualified intermediary who holds them between the two closings and prepares the exchange documents. We act as the qualified intermediary for Texas exchanges, including reverse and construction exchanges. Start early, because the 45 days move quickly. Learn more about our 1031 exchange services or talk with our team.
Same deadlines, different exchange structures
The 45-day and 180-day periods apply across exchange types; what changes is what you have to fit inside them. A delayed exchange is the standard order: sell first, then identify and buy. A reverse exchange flips it: you acquire the replacement first, then have 45 days to identify the relinquished property and 180 total days to complete the sale. A construction or improvement exchange is the tightest fit of all, because improvements generally only count if they are completed within the same 180-day period.
1031 exchange timeline FAQs
When does the 1031 clock start?
It starts the day you close on the sale of your relinquished property, which is the day the transfer happens. That date is day zero. The 45-day identification window and the 180-day completion window both run from it, at the same time, not one after the other.
Are the 45 and 180 days calendar days or business days?
Calendar days. Weekends and holidays count, and the deadlines do not move just because they land on one. There is no routine extension, so it is best to treat both dates as hard.
What are the property identification rules?
In writing, within 45 days, you generally identify replacement property under one of three tests. The three property rule lets you identify up to three properties regardless of value. The 200 percent rule lets you identify any number as long as their combined value does not exceed 200 percent of what you sold. The 95 percent exception covers lists that exceed both, but only if you actually acquire at least 95 percent of the value you identified. Your qualified intermediary and tax advisor will help you document this correctly.
Can the deadlines be extended?
Rarely. The main exception is a federally declared disaster, where the IRS sometimes grants relief. The 180-day period can also be cut short if your tax return for that year is due first, so many exchangers file an extension. Confirm your own dates with your CPA or attorney.
Do I need a qualified intermediary?
For a standard delayed exchange, yes. You cannot take possession of the sale proceeds and still defer the tax. A qualified intermediary holds the funds and handles the exchange documents. We provide qualified intermediary services for Texas exchanges.
What is the 95 percent rule in a 1031 exchange?
It is the fallback identification test. If you identify more properties than the three property rule and the 200 percent rule allow, the exchange generally holds up only if you actually acquire at least 95 percent of the combined value of everything you identified. Confirm how it applies to your list with your CPA or tax attorney.
How long does a 1031 exchange take?
180 calendar days at most, measured from the day your relinquished property sale closes. It finishes sooner if you close on the replacement property earlier. It does not run longer, apart from limited relief such as federally declared disasters, so plan the purchase to close well before day 180.
Can I change my identified properties during the 45 days?
Generally yes. You can change or revoke your identification in writing any time before the end of day 45. After day 45 the list is locked, and the replacement property generally has to come from it. Confirm the mechanics with your qualified intermediary before you rely on a change.
What happens if I miss the 45-day deadline?
The exchange generally fails, and the gain on your sale can become taxable. There is no grace period and no routine extension. If day 45 is approaching without a solid list, talk to your qualified intermediary and CPA immediately about your options.
Planning a 1031 exchange in Texas?
We provide qualified intermediary services. Talk to us before your sale closes.