“DIRECT” EXCHANGES HAVE THESE ADVANTAGES OVER “DELAYED” EXCHANGES

1. They save you the time, money, grief and risk of completing the two transactions in a delayed exchange. A direct exchange is a sell and a buy, all in ONE.

2. They save you in commissions because our postcards and emails are sent to buyers (property owners wanting to exchange or buy due to selling or refinancing) and not Realtors. I am happy to work with Realtors but I assume you want to save in commissions, and you will when I am the only broker. Being an independent broker with a low-overhead helps you save as well. The higher price you receive due to my EXTRA 1,000 + quality buyers and other effective strategies (trade secrets) and your savings in holding and traveling costs (because you sold or exchanged sooner), offsets much of the commission.

3. They eliminate the need for your sale or purchase contract being contingent on you buying or selling property. For example, if you offer your Chico Area property “For Sale” contingent on you buying other property, you will be at a disadvantage because some buyers (i.e. 1031 buyers) will not deal with sellers who need to buy other property before selling. If you submit offers to buy property contingent on you selling your property, you will be at a disadvantage because some sellers (i.e. motivated sellers) will not deal with buyers who need to sell property before buying.  

4. They are an ADDITIONAL WAY to sell or exchange your Chico Area property, and if you are not EFFECTIVELY offering it “For Sale or Exchange,” you are MISSING OUT on opportunities to sell or exchange.

The following do not apply when exchanging your personal residence or dealer property.

5. They save you the intermediary fees paid in a delayed 1031 tax-deferred exchange. 

6. They eliminate your risk of not properly identifying the replacement property with the I.R.S. (within 45 days) and properly closing escrow on your replacement property (within 180 days) in a delayed 1031 tax-deferred exchange (fail to defer tax).

7. They eliminate your 45-day and 180-day time pressures in a delayed 1031 tax-deferred exchange that can force you to pay a higher price and buy property you ordinarily wouldn’t.