180-Day Exchange Rule
You have 180 calendar days from closing to complete the purchase of your replacement property.
Definition
The 180-day rule gives you 180 calendar days from your relinquished-property closing to actually close on and receive your replacement property. It runs concurrently with — not after — the 45-day window; the two clocks both start at Day 0. One catch: your exchange must also finish by the due date of your tax return (including extensions) for the year of the sale, if that date is earlier than day 180.
Why it matters
A sale late in the year can quietly shorten your 180 days, because an April 15 return due date may arrive first. Filing an extension usually preserves the full 180. This is a common trap worth flagging to your CPA.
Related terms
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.