1031 exchange on loss?

[Jeni L.]

Does anyone understand the rules of a 1031 exchange?

Is it true the acquired property's purchase price must be higher than the net sales of the exchanged property?

If a property swap occurs of differently valued properties, is there any tax benefit to original owner of the higher value property?

Example

Adam has a rental valued at $75K
Brian has a rental valued at $100K

They swap properties plus $25K cash.

Adam gets a 1031 exchange due to higher value of new property.

Is there any benefit to Brian who now has a lower value property?