What counts as Day 1 for the 45/180-day periods?

Day 1 is the day the client relinquishes the property, which is typically the day title closes and the client no longer owns the relinquished property. If closing occurs at 3 p.m. on a Tuesday, that Tuesday is Day 1. The 45-day identification window and 180-day acquisition period both begin on Day 1 and are measured in calendar days, not business days.

Can weekends or holidays extend the deadlines?

No. The IRC 1031 deadlines are absolute. If Day 45 falls on a Saturday, midnight Saturday is the deadline. If Day 180 falls on Christmas, midnight Christmas is the deadline. There are no exceptions for weekends, federal holidays, or natural disasters. Plan accordingly and do not procrastinate near the deadline.

What's the most common reason identifications fail?

The client procrastinates, fails to identify any property by Day 45, and misses the deadline. The second most common reason is that the client identifies property that doesn't close by Day 180, so no like-kind property is actually acquired. The third is that the client identifies multiple properties but the seller becomes uncooperative or the property fails inspection. Identify early and identify conservatively: include at least one property you are confident will close by Day 180.

What if the client's sale closes late in December?

If relinquished property closes on Dec. 20, then Day 45 is Feb. 3 and Day 180 is June 19 (of the following year). This is unpleasant because the client may be in a different tax year. The same taxpayer rule still applies: the client must be the same person/entity on both sides. Some advisors discourage December closings for exactly this reason. If unavoidable, plan carefully and give yourself a wide margin on the identification deadline.

Can the advisor sign the identification letter on behalf of the client?

No. The identification letter must be signed by the client/taxpayer or by a duly authorized representative with written power of attorney. Many QIs will accept an authorized representative's signature, but the authority must be documented. Most advisors do not sign identification letters themselves. Recommend that the client sign or that the client's attorney sign with a specific power of attorney for this purpose.

What documentation should the advisor keep in their own file?

Keep: the exchange agreement with the QI, the identification letter (and all versions), the purchase and sale agreement for the replacement property, the sale and purchase agreement for the relinquished property, the closing statements (both sides), preliminary tax projections, the timeline document shared with the team, emails coordinating the timeline, and the Form 8824 prepared by the CPA. This file is your evidence that you managed the exchange diligently and within the rules. It also helps with future audits or disputes.

1031 Advisor Timeline Checklist: Day -30 to Day 180

16 min read · For Advisors · Last updated March 2026

Key Takeaways

The 1031 exchange timeline is unforgiving: 45 days to identify, 180 days to close. Advisors must use a phase-based checklist to track documents, deadlines, and team coordination at each stage. Deviating from this checklist or skipping steps is how advisors expose clients to constructive receipt, missed identification deadlines, and tax disasters.

How to Use This Checklist

This checklist covers five phases of a 1031 exchange. Each task includes a timeline, the responsible party, and the most common failure point at that step. Print it, customize dates for each client, and distribute to all team members at the start of the engagement.

Phase 1: Pre-Sale Planning (Day -30 to Day 0)

Task	Due	Owner	Action	Common Failure
1.1	Day -30	Advisor	Conduct pre-sale planning call: confirm investment intent, verify holding period, verify tax identity (individual, LLC, S-corp), run preliminary tax projection, discuss replacement property criteria, check for related-party complications (IRC 1031(f)), document findings in summary email	Advisor skips entity/tax-identity check; mismatch surfaces at closing
1.2	Day -20 to -15	Advisor / Client	Provide client with 2-3 QI options (experience, fees, references); confirm client has selected and engaged QI; confirm QI has executed exchange agreement; provide QI with contact info, expected sale date, and expected proceeds	QI engaged too late; title company does not have wiring instructions
1.3	Day -15	Advisor	Assemble deal team: confirm selling realtor understands 1031 and will not wire proceeds to client; confirm title company has QI wiring instructions; alert CPA that Form 8824 will be needed; brief client attorney if applicable	Realtor unaware of 1031; proceeds wired to client (constructive receipt)
1.4	Day -15	Advisor / CPA	Calculate adjusted basis, depreciation recapture, realized gain; prepare two scenarios (exchange vs. taxable sale); show effective tax rate; share with CPA for review	Basis miscalculated; recapture underestimated
1.5	Day -10	Advisor	Create timeline document: expected closing date (Day 0), Day 45 identification deadline, Day 180 acquisition deadline, internal milestones (Day 20 screening, Day 35 contract, Day 140 closing ready); distribute to client, QI, realtor, CPA, attorney	No written timeline; team members unaware of deadlines

Documents to Collect (Phase 1)

Executed exchange agreement with QI
Preliminary tax projection (two scenarios)
Property deed (proof of ownership and purchase date)
Most recent tax return showing property (Schedule E or C)
Tenant leases or lease abstracts (if applicable)
Preliminary title report
Estimate of sale proceeds from realtor

Phase 2: Exchange Opens (Day 1-7)

Task	Due	Owner	Action	Common Failure
2.1	Day 1-3	Advisor / QI	Contact QI within 24 hours of closing; confirm proceeds received; verify net amount matches estimate; confirm QI has updated contact info and identification deadline	QI does not receive proceeds; wire sent to wrong account
2.2	Day 1-3	Advisor	Verify client did not receive any check or wire from the sale; if client received a check, confirm it is a collateral refund, not sale proceeds	Client accidentally receives proceeds (constructive receipt)
2.3	Day 3-5	Advisor / CPA	Work with CPA to verify final adjusted basis; confirm depreciation adjustments; note closing date and proceeds for Form 8824	Basis not finalized; errors carry into replacement property
2.4	Day 5-7	Advisor / Realtor	Share replacement property criteria with buying realtor; request 5-10 candidates by Day 15 with details (type, price, income, condition, valuation)	Search starts too late; insufficient candidates by Day 20

Documents to Collect (Phase 2)

Executed deed for relinquished property
Closing statement from sale
QI confirmation of proceeds received
Email confirming client did not receive proceeds

Phase 3: Identification Window (Day 8-45)

Task	Due	Owner	Action	Common Failure
3.1	Day 8-20	Advisor / Realtor	Review 5-10 candidates; verify each is like-kind real property for investment; eliminate non-qualifying or red-flag properties; narrow to 3-5 finalists; request appraisals or broker opinions of value	Client procrastinates; arrives at Day 40 with no vetted candidates
3.2	Day 20-35	Advisor / Realtor	Schedule inspections (structural, environmental, mechanical); review tenant leases and rent rolls; verify taxes, insurance, HOA; run preliminary financial analysis; discuss alignment with client goals	Inspection reveals problems too late to pivot
3.3	Day 30-40	Advisor / Realtor / Lender	Identify most likely property to close on time; request market analysis for top candidates; obtain financing pre-approval; brief replacement title company on 1031 and QI coordination	Lender not engaged; financing delays blow Day 180
3.4	Day 35-40	Advisor	Draft identification letter: confirm QI template or format; list identified properties with legal description, address, county/state; include only properties client is serious about; review with client	Vague property description; letter delivered to wrong party
3.5	Day 40-45	Client / Advisor	Obtain client signature on identification letter; email to QI with tracking confirmation; confirm QI receipt in writing; forward copy to CPA and deal team	Deadline missed; identification not delivered to QI

Documents to Collect (Phase 3)

Candidate property list (realtor compilation)
Appraisals or broker opinions of value
Property inspections
Tenant leases and rent rolls
Tax and HOA fee records
Draft and signed identification letter
QI confirmation of identification receipt

Phase 4: Acquisition Period (Day 46-180)

Task	Due	Owner	Action	Common Failure
4.1	Day 46-70	Realtor / Client	Negotiate purchase and sale agreement; confirm price, closing date, contingencies; set closing date at least 20 days before Day 180; share signed contract with QI and closing attorney	Closing date set too close to Day 180; no buffer for delays
4.2	Day 50-100	Advisor / Lender	Brief lender on 1031 and Day 180 deadline; provide financials, tax returns, replacement appraisal; confirm lender will accept QI wire for down payment; request loan commitment by Day 120	Lender unfamiliar with 1031; underwriting drags past deadline
4.3	Day 60-130	Advisor / Client	Complete property inspection; verify appraisal at or above purchase price; confirm clear title insurance commitment; review environmental, zoning, and use compliance	Appraisal comes in low; title defect discovered late
4.4	Day 120-170	Advisor / Title Co.	Provide QI wiring instructions to closing attorney/title company; request preliminary closing statement by Day 150; confirm exact closing date and time; if Day 180 is weekend/holiday, close by Day 178	QI wiring instructions missing at closing
4.5	Day 170-180	Client / Advisor	Final walkthrough; confirm repairs complete; verify QI is ready to wire; confirm lender final approval and documents; ensure closing attorney has correct purchase price, debt, and basis info	Last-minute issue with no buffer time

Documents to Collect (Phase 4)

Signed purchase and sale agreement
Property inspection report
Updated appraisal or BPO
Title insurance commitment
Loan commitment letter
Preliminary and final closing statements
Signed deed transferring title

Phase 5: Post-Close (Day 181+)

Task	Due	Owner	Action	Common Failure
5.1	Day 181-190	Advisor / Title Co.	Obtain recorded deed; confirm title insurance policy issuance; verify client has keys, rental income, and property control	Deed not recorded; title policy delayed
5.2	Day 185-210	Advisor	Collect final closing statements for both properties; gather deed, survey, environmental reports, loan documents; compile closing packet and send to CPA	CPA receives incomplete documents; Form 8824 delayed
5.3	Day 200-210	Advisor / CPA	Provide basis summary: adjusted basis of relinquished, sale proceeds, boot received, purchase price and financing of replacement, adjusted basis of replacement; request preliminary Form 8824 draft; discuss recapture and state tax	Basis carryover miscalculated; depreciation schedule wrong
5.4	Day 210-365	Advisor / Client	Review replacement property performance; update investment allocation and check for concentration risk; discuss long-term hold vs. future exchange; confirm depreciation schedules on tax return	No post-close review; basis errors go undetected
5.5	Tax deadline	CPA / Advisor	Review completed Form 8824; confirm taxpayer info, property descriptions, and basis calculations; ensure filing with annual return; keep copy for file	Form 8824 not filed; exchange not reported

Documents to Collect (Phase 5)

Recorded deed for replacement property
Final closing statements (both properties)
Title insurance policy
Loan documents and promissory note
Survey and environmental reports
Basis summary for CPA
Completed Form 8824
Depreciation schedule for replacement property

Master Timeline Summary

Phase	Key Milestone	Deadline	Owner
Pre-Sale	Planning call	Day -30	Advisor
Pre-Sale	QI engaged	Day -20	Client / Advisor
Pre-Sale	Team assembled	Day -15	Advisor
Pre-Sale	Tax projection complete	Day -15	Advisor / CPA
Pre-Sale	Timeline document distributed	Day -10	Advisor
Exchange Opens	QI confirms proceeds	Day 3	QI
Exchange Opens	No proceeds to client verified	Day 3	Advisor
Exchange Opens	Property search begins	Day 7	Realtor
Identification	Candidates screened	Day 20	Advisor / Realtor
Identification	Due diligence complete	Day 35	Advisor / Realtor
Identification	Identification letter drafted	Day 40	Advisor
Identification	Identification submitted and confirmed	Day 45	Client / Advisor / QI
Acquisition	Purchase contract signed	Day 70	Realtor / Client
Acquisition	Financing approved	Day 120	Lender
Acquisition	Final walkthrough	Day 175	Client
Acquisition	Replacement property closes	Day 180	Title Co.
Post-Close	Deed recorded	Day 185	Title Co.
Post-Close	Closing documents to CPA	Day 210	Advisor
Post-Close	Form 8824 filed	Tax deadline	CPA

The Bottom Line

Manage by checklist, not by hope. Print this page, fill in your client's specific dates, and share it with all team members. The QI, realtor, attorney, and CPA should each know which boxes they own and when their work is due.