Finance

What is a 'Qualified Intermediary' (QI) in a Delaware 1031 exchange?

AA qualified appraiser who values the exchanged properties
BA third party who holds the exchange proceeds between the sale of the relinquished property and the purchase of the replacement property✓ Correct
CAn IRS-certified intermediary who approves each exchange
DA Delaware-licensed escrow agent who holds 1031 funds

Explanation

A Qualified Intermediary (accommodator) is a neutral third party who holds the proceeds from the sale of the relinquished property and uses them to acquire the replacement property. The exchanger must not have actual or constructive receipt of the proceeds.

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