Finding the right 1031 facilitator – important steps to take
If you have been working in the real estate market for some time now, then you have probably heard about the many benefits offered by 1031 exchange programs. If you have decided to use this type of program to your advantage, you should inform yourself properly regarding the implications of the process. Without experience and expertise in this department, managing to reach your real estate goals will not be that easy, and that is why you should consider working with a 1031 company, which can intermediate the process and help you understand the ins and out of property exchanges. However, when looking for a facilitator of this kind, it is important to pay attention to the following aspects:
Longevity and experience
The longer the company has been working in the industry, the better their services will be. Exchanges are not that easy to handle, and require being informed and making smart and quick moves. So, for the overall process to go exactly as you desire, you should resort to a facilitator who is experienced enough, and can take care of the overall process in an inconvenience-free way. Also, find out if the intermediary company can put at your disposal more than one option of keeping your funds safely during the entire transaction.
Receiving an estimate in advance
You should avoid working with a company that is not 100 percent transparent regarding their fees. You probably know by now that collaborating with a facilitator means you will have to pay for their services, and although this aspect is perfectly normal, you should have an idea on how much money you will be required to pay. Ask for an estimate, and only if they are able to provide you with one, you can start collaborating with them.
Communication is key
One last thing you should bare in mind, is that the representatives of the companies should be communicative and responsive to your questions. To make sure your collaboration is a successful one, and you are dealing with reliable people who will help you take advantage of everything that a 1031 exchange has to offer, work with experts who value communication. Usually, an exchange process demands you to make quick decisions, so you working with someone who will respond rapidly to your questions, and can help you understand your options and the overall situation, will be necessary. Upon your first discussion with the facilitator, you will be able to conclude if your professional relationship would go smoothly or not.
Opting for a 1031 exchange program can be a great choice, influencing your real estate business in a positive way. However, because you probably are new to this type of process, working with an intermediary professional, who knows exactly the most important aspects of this program, and can advise you in the right direction, is necessary. If you are looking for a facilitator that will provide you with the excellent services you need, following the guidelines mentioned above can be useful.