1031 exchange question relating to buyer of property

[Dave Wyman]

There is a property listed that states "buyer agrees to cooperate in a 1031 exchange".  I am semi familiar with what a 1031 exchange is but could use some clarification as to what it means for me, the buyer?  

[Bill B.]

I don’t think there is much for you. They may ASK you to expedite or slow down your purchase but they can only ask. They may be asking you not to tie up the property if you can’t or don’t want to close as the seller would be hosed. 

They’re giving you more negotiating  power. Probably it’s mostly to comply with the IRS. 

The IRS requires that if any party to a transaction wishes to do a 1031 Exchange, all parties to the closing are made aware. The best place to do this is in the purchase and sale agreement.