1031 Rules · 4 min read
The Three Identification Rules
The three-property rule, the 200% rule, and the 95% exception.
Three-property rule
Identify up to three properties of any value. The most commonly used option.
200% rule
Identify any number of properties as long as their combined fair market value does not exceed 200% of the value of what you sold.
95% exception
If you exceed both limits, you must acquire at least 95% of the total value you identified. In practice, this is rarely workable.
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