Identification Rules
Section 1031 regulations allow you to choose a replacement
property by using ONE of the following three rules:
3 – Property Rule:
Identify up to three (3) properties without regard to their fair
market value
200% Rule:
Identify any number of properties as long as their combined fair
market value does not exceed 200% of the fair market value of
all relinquished property.
95% Rule:
Identify any number of properties regardless of their aggregate
fair market value, provided 95% of the value of the identified
properties are acquired before the end of the exchange period.
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