Identification Rules
It doesn’t really matter that I did not identify any property for my exchange within 45 days if I eventually purchase a new property and follow the other rules.
FALSE
The rules under section 1031 are very strict. If you do not identify any property within the identification period, your exchange will fail. There are no exceptions. It is important to remember from the day your Relinquished Property transfers, you have 45 calendar days to identify potential Replacement Property using the 3 Property Rule (most common), 200% Rule or 95% exception. You can change your identification at any time before the expiration of the 45-day identification period, but not after it expires. The statute is very clear, to be eligible for deferral under section 1031, the like-kind property must be identified within 45 calendar days and acquired within 180 calendar days from the transfer of the Relinquished Property.
