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Updated over 2 years ago on . Most recent reply

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65
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Yashar Fred
  • San Antonio, TX
13
Votes |
65
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1032 exchange clause added to contract

Yashar Fred
  • San Antonio, TX
Posted

I am about to cash purchase a property , the seller has added a paragraph saying he/she is intending to do 1031 exchange and that I know it and I will cooperate with it.

Since this is first time I am facing this , I am not sure if I should sign it . It says “buyer agrees to cooperate with such and exchange “ what is the cooperation 

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Bill B.#3 1031 Exchanges Contributor
  • Investor
  • Las Vegas, NV
9,542
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Bill B.#3 1031 Exchanges Contributor
  • Investor
  • Las Vegas, NV
Replied

I think they have to disclose a 1031. To you it makes no difference. It just means the seller is buying something else. It actually gives you an advantage because now you know it’s important to the seller to close on time. Sign away. 

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