Taxpayer has rental property M (her personal name holds the title) to sell but still needs to set up the selling process. She came across property F and thought it was a fantastic deal. She has considered doing a reverse 1031 but has considered the process very risky.

This is her thought process on another way to go about it.

She proposes to use her company (100% ownership) to acquire the property F first. In the meantime, she’ll also put up property M on the market (relinquished property). When she has an accepted offer, she can request the buyer to cooperate with her under 1031 tax deferred exchange through an accommodator. Then, she will identify property F (hold by her company) as the replacement property. Both sides (Taxpayer & her company ) will need to open an escrow to finalize the exchange, thru also the same accommodator.