1031 question

[ashubhoot]

I am in Virginia. I recently sold a property with proceeds going into 1031 account. I have identified a replacement property which fulfills all the conditions listed in 1031. But the problem is the price is a bit high and I need to add co-owner to be able to get approval for the loan. Is it possible to add partner/co-owner in 1031 exchange. Any links or text references regarding this would be appreciated.
Thanks,
Ash

 

[abezon]

Yes, you can buy a share in some real estate, as long as you reinvest all proceeds. Now, why didn't you call your 1031 exchange facilitator with this question? That's why s/he's getting the $1,000 fee!

 

[ashubhoot]

Thanks....

I did asked him this question and he was not sure about this. He said he will find out about this in further detail. But I thought this thing should be pretty common (like adding a partner in proceeds of 1031-- people would be needing that all the time) and he should know about it right away. So I was just trying to research about this a bit more on internet.
Thanks a ton for your quick reply. Also is there any legal term used to represent this type of transaction in 1031.
I was reading about tenants in common option. Is this the legal term used for adding partner in 1031. Or is it just too simple of a transaction to bear any formal legal name?

 

[abezon]

Tenants in common is probably the correct term. You could also form a real estate partnership.