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1031 Book

Everything you need to know about the 1031 Exchange.

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Can You Do a 1031 Exchange with a Related Party?

September 3, 2026 by johnpohly

Hand that is coin down the house. planning savings money of coins to buy a home concept for property

Yes, you can execute a 1031 exchange with a related party, but specific IRS rules must be adhered to in order to prevent abuse of the tax deferral benefits. This involves a mandatory two-year holding period for both parties involved in the exchange to ensure the transaction is intended for legitimate investment purposes.

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