Escrow & Title

In a NH 1031 exchange (tax-deferred exchange), the qualified intermediary (QI) is responsible for:

AAppraising the replacement property
BHolding the exchange funds and facilitating the exchange to ensure the transaction qualifies under IRS rules✓ Correct
CProviding tax advice to the exchanger
DRecording the deeds at the Registry of Deeds

Explanation

A qualified intermediary (accommodator) holds the exchange funds after the relinquished property closes and uses them to acquire the replacement property, ensuring the exchanger does not have actual or constructive receipt of the funds. The QI's proper handling is essential for the exchange to qualify under IRC §1031.

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