Every 1031 exchange has the same bottleneck: 45 days to identify replacement property, 180 to close, and no extensions. The exchangers who defer their full gain are almost never the ones with the best tax advice. They are the ones who lined up deal flow before the clock started.
This guide covers where replacement property actually comes from, what each channel is good for, and where each one breaks down under a deadline.
The rules first
Know your identification limits
You identify replacement property in writing to your qualified intermediary, and the IRS gives you three ways to do it: up to three properties of any value (the three-property rule), any number of properties up to 200% of your sale price (the 200% rule), or more than that if you acquire 95% of what you identified (the 95% rule). Most buyers use the three-property rule, which makes the real question how to fill three strong slots in 45 days. The IRS explains the framework in its like-kind exchange guidance and the mechanics live in Form 8824.
The channels
Seven ways buyers source replacement property
1. Public listing sites
The obvious starting point, and where every other exchanger under deadline is looking too. Public inventory is real but picked over: well-priced deals attract multiple offers quickly, and sellers know 1031 buyers are negotiating against a clock. Use public sites to calibrate pricing in your target market, not as your only channel.
2. Broker relationships
A good investment-sales broker sees deals before they are marketed. The limitation is coverage: one broker knows one network, one submarket, one asset specialty. If your exchange window opens and your broker has nothing that fits, you are starting relationships from zero with 45 days on the clock.
3. Off-market marketplaces
Platforms that aggregate broker-submitted deals which never reach the public sites. This is what Exchango is: an off-market 1031 exchange marketplace where financials are browsable without registering and the address unlocks after a per-deal confidentiality agreement. The pool is broader than any single broker network, and every deal is submitted by a licensed broker rather than scraped from public listings.
4. Qualified intermediary networks
Your QI cannot give investment advice, but the good ones see hundreds of exchanges a year and know which brokers and platforms their clients actually close with. Ask early, ideally before your sale closes.
5. Direct outreach to owners
Mailing or calling owners of properties you want to buy. It works, but the timeline does not fit a 45-day window: unsolicited owners take 60 to 90 days or longer to decide, and most never respond. Treat direct outreach as a strategy for your next acquisition, not the one on a deadline.
6. Sale-leasebacks and build-to-suit
Buying a property directly from the company that occupies it, or funding new construction with a tenant pre-committed. Both can produce excellent net lease assets, but they are specialist channels with long lead times and are usually sourced through the same broker and marketplace relationships above.
7. DSTs as the fallback
Delaware Statutory Trusts are fractional interests in institutionally managed property, and they close in days rather than months. That speed makes them the standard backstop when the 45-day window is closing without a property under contract. The trade-offs are real: sponsor fees, no control, and no ability to refinance or improve the asset. Many advisors suggest identifying one DST as insurance alongside real property targets.
Live inventory
What off-market inventory looks like right now
These are live broker-submitted deals from the 47 currently listed on Exchango. No account is needed to browse.
The timeline
A realistic 45-day sourcing plan
Before your sale closes
Set your criteria: asset type, price band, market, minimum cap rate, and how much debt you need to replace. Post your profile on the platforms you plan to use and tell your broker network you are about to be in the market. Days spent here do not count against your 45.
Days 1 to 14
Cast wide. Screen public listings for pricing context, review off-market inventory, and take broker calls. Your goal is a shortlist of five to eight credible candidates, not a final answer.
Days 15 to 35
Go deep on the shortlist: sign NDAs, review rent rolls and leases, walk the properties you can, and get at least one under contract or letter of intent. Line up your lender in parallel; financing kills more exchanges than sourcing does.
Days 36 to 45
Finalize your written identification with backups in every slot. Three strong candidates beat one perfect one, and a DST in the final slot is cheap insurance if your primary falls through.
FAQ
Common questions
How long do I have to find a 1031 replacement property?
You have 45 calendar days from the sale of your relinquished property to identify replacement property in writing, and 180 days total to close. Both clocks run concurrently and neither pauses for weekends or holidays.
Can I identify more than three properties?
Yes, under two conditions. The 200% rule lets you identify any number of properties as long as their combined value does not exceed twice your sale price. The 95% rule lets you exceed even that if you actually acquire at least 95% of the identified value. Most exchangers stay with the three-property rule for simplicity.
What happens if I miss the 45-day deadline?
The exchange fails and your sale becomes fully taxable. There are no extensions except federally declared disaster relief. This is why experienced exchangers start sourcing replacement property before their sale closes.
Do DSTs count as like-kind property?
Yes. A Delaware Statutory Trust interest qualifies as like-kind under IRS Revenue Ruling 2004-86, which is why DSTs are a common fallback when the clock runs short. The trade-off is fractional ownership, sponsor fees, and no control over the asset.
How do off-market listings work for 1031 buyers?
Brokers list deals that are not publicly marketed, with financials like price, cap rate, and size visible up front. You verify your exchange, sign a per-deal confidentiality agreement, and get the address, photos, and documents plus a direct line to the listing broker.
Go deeper
Keep researching
Browse off-market properties
All live broker-submitted inventory with financials visible before any NDA.
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Metro-by-metro guides to buying replacement property across the major Texas markets.
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Estimate your deferred gain, boot exposure, and reinvestment targets.
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How net lease works as a replacement property for landlords leaving active management.