1031 Exchange Question

[Lynell Sonoda]

Hi BP,

I'm here again with another 1031 exchange question.

Our home is currently in escrow, estimated to close at the end of this month. We are already pre-approved for a loan, but there's a catch. My husband is the sole owner of the property being sold and the exchange person said that he needs to spend the entire proceeds under his name in order to "escape" the taxes due from capital gains. Is this correct? If so, is there a way to have myself added on to the title, etc of the new home or put the home under an LLC once the purchase of the new property is complete?

Thank you!