How much does a 1031 exchange cost?
A standard deferred 1031 exchange typically costs a Qualified Intermediary fee in the range of roughly $800 to $1,500 for the first pair of properties, plus small fees for each additional property. That’s modest next to the tax you defer, which is often tens or hundreds of thousands of dollars. More complex structures — reverse or improvement exchanges — cost more because a titleholder entity is involved.
On top of the QI fee, you’ll still have the normal transaction costs of buying and selling real estate (title, escrow, recording, commissions), which you would pay anyway.
The math almost always favors exchanging: a four-figure fee to defer a five- or six-figure tax bill. Estimate the tax you’d defer with the capital gains calculator. xchange1031 charges one flat, transparent service fee — see pricing.
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General education — not tax or legal advice. This explains how §1031 exchanges work in general terms and uses simplified assumptions. Rules and tax rates change and your situation is specific. Talk to a qualified CPA or tax attorney before you rely on any of it. See our full terms & legal notice.