Three Property Letter Strategy

The three-property rule in Boston, MA allows you to identify up to three replacement properties without any value restrictions. You can identify any three properties regardless of their combined value, as long as you eventually acquire at least one of them. We help Boston investors understand this rule and structure their identification strategy to maximize options. We coordinate with Qualified Intermediaries to ensure proper identification letter drafting and delivery, and work with qualified escrow agents to verify all requirements are met within the 45-day identification deadline.

If you want to identify more than three replacement properties from Boston, MA, you must use the 200% rule, which requires that the combined value of all identified properties doesn't exceed 200% of your relinquished property's value. We help structure identification strategies under the 200% rule, coordinate property valuations, and ensure your identification letter properly documents all properties and their values. We work with Qualified Intermediaries and qualified escrow agents to verify compliance and ensure proper delivery within the 45-day deadline.

If you receive boot in your Boston, MA exchange after identifying multiple properties, boot is calculated based on the property or properties you actually acquire. We help structure your identification strategy to minimize boot by coordinating property values and acquisition planning. Our analysis helps you understand potential boot scenarios for each identified property, and we work with Qualified Intermediaries and qualified escrow agents to ensure proper boot calculation and documentation based on your actual acquisitions.

Identification letters for Boston, MA exchanges must include the legal description or street address of each replacement property, be signed by you, and be delivered to your Qualified Intermediary or other qualified person within 45 days of transferring your relinquished property. We help draft identification letters that meet all IRS requirements, coordinate delivery via courier or other acceptable methods, and maintain audit trails. We work with Qualified Intermediaries and qualified escrow agents to ensure proper execution and delivery.

Generally, identification letters for Boston, MA exchanges cannot be modified after the 45-day deadline, making it critical to get the identification right the first time. We help structure your identification strategy upfront, coordinate property evaluations, and ensure your identification letter is comprehensive and accurate before delivery. Our service includes deadline tracking and reminders to help you meet the 45-day requirement with a properly drafted identification letter that maximizes your options while ensuring compliance.

Identification letters for Boston, MA exchanges can be delivered by hand, mail, courier, fax, or other methods that provide proof of delivery within the 45-day deadline. We coordinate courier delivery and other reliable methods to ensure timely delivery and maintain audit trails. We work with Qualified Intermediaries to verify acceptable delivery methods and ensure your identification letter is properly received and documented, protecting your exchange eligibility.