Flawless Section 1031 Exchanges For Over 28 Years

HOME | 603-444-0020 | CONTACT

SCOPE OF SERVICES
Our Services are all inclusive. We support our clients from the
moment a Section 1031 is being considered. Below is an outline of
our services. Click here for a definition of a Qualified Intermediary.

Preliminary Support, Consulting & Training
A significant part of our practice is in assisting professionals and individuals in determining whether a Section 1031 Exchange is the right strategy. By providing upfront support, we become involved early enough to ensure that the vehicle is appropriate for the situation.

Preparation of documents
It is necessary to prepare a multitude of documents to align the proposed sale of the client's property to exchange. These are reviewed and  approved by the lawyer and accountant prior to execution by the client. At that time, Edmund & Wheeler acquires the standing of an assignee of the client/seller in the matter.

Attendance at the closing
Edmund & Wheeler, Inc. covers the entire US.  As such, it is impossible for us to attend most closings personally. However,  if requested and by arrangement, we would be pleased to attend any closing personally.

Because overlooked details have the potential of derailing the client's intended tax benefits, we insist on seeing and approving the relevant documents prior to passing of papers.

Banking and safeguarding the funds
One of the specific requirements of the statute and the regulations is that the intermediary be "Qualified", in that it has done no business (other than Section 1031 exchanges) with the client in the past 2 years and is otherwise "unrelated" to the client. It is possible for the client to find their own intermediary such as a trusted friend, but we would submit that such people are not also skilled in the practice of exchanges, meaning that their use makes for a higher likelihood of mistake.

Our firm uses a money center bank as a depository, and in all cases the funds are held under the client's name and social security number. In addition, our clients have full online access to their accounts, and must approve ANY and ALL disbursements of funds. We call this our "Exchange Security Program", you can read more about the program here.

Receiving notices during the exchange.
There is a critical deadline inside the time window for the client to receive replacement property and that is the 45th calendar day: it is by midnight of this day that the client must deliver to the Intermediary a list of Replacement Property choices (generally 3). The client must then settle on something on the list, with no substitutions. The remaining time period (60 to 135 days) is used to obtain financing, search titles, and close. As of July, 1989, the Replacement Property choices must be confined to the United States.

HOW MAY WE HELP?

Download/Print Scope of Services

Real-life examples of successful Exchanges.

What qualifies for an Exchange?

Review Exchange case studies.

I have a client interested in an exchange.

What is a Qualified Intermediary?

WE WILL TRAIN YOU

>

WHAT QUALIFIES?

Use this tool to quickly determine if your situation can qualify for an exchange.

Delivering funds
One duty of the Qualified Intermediary is to deliver funds to the sellers of the replacement property, both for deposits and for the final settlement. Typically, unless the client wishes us to attend the second closing, the funds are wired to the Settlement Agent or Seller's attorney after our review and approval of the closing statements.

Conforming documents, accounting and record keeping
The Qualified Intermediary serves the function of overall supervisor of the exchange. For example many clients direct the proceeds of the first transfer into one or more properties, some or all of which are out of state. This leads to a situation with multiple parties (the property Sellers, their brokers, lawyers, possibly bankers) involved. From the client's perspective, it is important to have every step of the exchange handled by one knowledgeable intermediary. To close out the exchange, a full accounting is made. The client's complete file is retained should it ever be needed.

Fees
The elements of expense in an exchange are:

• The complexity of the transaction

• The number of parties involved

• If fractional or whole interests are to be transferred or acquired

• Whether the property to be sold is currently under an agreement of sale

• The amount we are expected to be responsible for and for how long

• The degree of haste or urgency of the situation

• Other transaction specific factors

Edmund & Wheeler fees are all inclusive, and include support before, during and after the exchange. Our fees are quoted at the time of the engagement.

Options
There are many options when considering an exchange. We have completed thousands of successful exchanges, and are well-versed in the ways this tool can be used.

Scope of Services

Edmund & Wheeler, Inc. QI
567 Cottage Street
Littleton, NH 03561
603.444.0020
603.444.6611 Fax
exchange@section1031.com

Edmund and Wheeler is actively involved
in the exchange community.

Copyright 2009. Edmund & Wheeler, Inc. all rights reserved.
Banner Images Copyright 2005-2008. Peter Mogren and Mary O'Toole, all rights reserved.
The information contained on this site is for informational purposes only and does not constitute tax, legal or accounting advice.