@Jake AdamsThe Intermediary will be paid if you go through with the 1031 or not.If you don't go through with the 1031, you have to report the gain(and pay the tax).If your 1031 falls through, you may be able to put your money into a QOF as a backup plan.

Would the proceeds from the sale need to be held by an intermediary or something? 

I would look up at Qualified Intermediary in your area and give them a call. 

In any case, this is obviously not an intermediary relationship and this person will be un-represented.  

You can look up a good Qualified Intermediary and discuss with them.

Qualified intermediary handled the rest.

@Diana FeridoUnfortunately, it’s too late to do much of anything since you already sold it.As mentioned above, you could tax loss harvest and sold and long term capital losers, eg stocks...To do the 1031 like-kind exchange, it needs to be handled BEFORE you sell with a qualified intermediary.

Sometimes, a sale triggers full payback - so call your banker to confirm, but you are just basically offering seller financing and acting as an "intermediary". 

You would only subtract routine permissible selling expenses such as:Permissible Selling Expenses and Closing Costs: Owner's title insurance premiumsEscrow agent, settlement agent or closing attorney feesReal estate agent’s or broker's commissionsFinder fees or referral fees1031 Exchange Qualified Intermediary feesDocumentary transfer taxesRecording or filing feesAttorney fees and costs related to the disposition or acquisitionTax advisor fees related to the disposition or acquisition You would NOT subtract any non-permissible operating expenses or costs nor any lender or financing related costs such as: Non-Permissible Operating Expenses, Lender or Financing Costs or other Closing Costs: Financing or lender costs such as loan fees, loan points, appraisal fees, mortgage insurance premiums, lender's title      insurance policy premiums, and other loan processing fees and costsProrated Property taxesProrated rentsInsurance premium paymentsSecurity depositsPayoff of credit card balancesRepairs and/or maintenance costs

If you would like a more detailed answer and a contact for a 1031 exchange intermediary feel free to message me as I am a licensed realtor and investor in the Twin Cities.