The Hanes 1031 Exchange Timeline
Phase 1: 60 Day Marketing Plus 60 Day Escrow
Contains the company’s average days to sell, which is approximately 60 days plus our average escrow period, also 60 days – immediately gives the seller/exchanger 120 days to secure the upleg property. We immediately begin looking for the exchange upleg as soon as we take the subject building to market.Phase 2: 60 Day Extension
If needed the execution of a 60-day unilateral right by the seller to extend escrow if the up leg property has not been located - giving the seller/exchanger 180-days.Phase3: 60 Day Extension
If needed an additional 60-day unilateral escrow extension by the seller – giving the seller/exchanger 240 days. After phase 3 is complete, 8 months after we originally took your property to market, escrow closes.Phase 4: 45 Day Identification
Is the 45-day period the IRS allows for identification once the escrow has been consummated on the down leg. The completion of phase 4 makes up our 285-day identification period.
----------------------------- Escrow Closes -----------------------------
285 possible days to identify your exchange property...
Phase 5: 135 Days to Close
After phase four is complete the seller/exchanger has an additional 135 days to close escrow on the up leg property. This process makes a possible one-year period from the opening of escrow of the down leg to the close of escrow on the up leg.Possible one year period from open escrow to close...
Remarkably, over 80% of the transactions handled by Hanes involve a 1031 tax deferred exchange. Even more remarkable, 100% of the exchanges the firm has handled have been successfully completed.
There are many investors who wish to exchange a property for a variety of reasons but fail to do so because they fear they will not have sufficient time to locate the exchange property of their choice. The above segments solve that problem.
The above chart shows how the
Hanes system gives the seller/exchangor
up to 285 possible days to identify the
exchange property and up to one year, or
more, from the opening of escrow on the “down leg” to the closing of the escrow
on the “up-leg”.
Finally, as opposed to attempting to convince a seller to accept your offer contingent upon your down leg property selling (which most sellers will not do as they may be in an exchange mode themselves), by marketing your property on an extended escrow basis, you become a ready, willing and able buyer.
More ways that Hanes helps you
