Reverse 1031 Exchange and financing

[Laura DenHaan]

Im selling a rental property and would like to do a 1031 exchange. Ive identified a replacement property but am not under contract for the property Im relinquishing yet. If I do reverse 1031 exchange, can I take out a heloc against my primary residence to use for the equity I am reinvesting in the replacement property and still qualify for a 1031 exchange? My lender says I qualify for the heloc.