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Meaning / Definition of
Replacement Property
Categories: Credit and Debt, Real Estate, Legal, ,
In a 1031 exchange, the property the investor purchases with the proceeds of the sale of the original property (called the relinquished property). Under current IRS rules, replacement property must be identified within 45 days of the sale of the relinquished property, and the sale must close within 180 days of the sale.
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