Experience. The principals of NExT1031 have 30+ years of experience successfully facilitating over 4,000 real and personal property exchanges including reverse and improvement exchange transactions. They are well respected in the 1031 industry and have worked with numerous sophisticated clients and their attorneys, accountants, and lenders to insure successful structuring and completion of complex exchanges.
Expertise. NexT1031’s attorneys are available to discuss exchanges of any complexity – from standard delayed to multifaceted reverse and improvement exchange transactions. Every exchange is personally handled by one of our extremely qualified and experienced attorneys. Clients are not handed off to a processor/coordinator after the initial intake. Our attorneys work with you and are available to answer your questions through every step of the exchange process. We also have a Certified Exchange Specialist on staff to answer your questions.
Security for Exchange Funds. In its role as a Qualified Intermediary (“QI”) Next1031 may hold Exchange Funds. Therefore, we have made the safety and security of those funds a top priority:
- Qualified Escrow Accounts available upon request,
- Segregated accounts for each client, separately identified under the client’s tax identification number.
- Client’s exchange funds are never comingled with another client’s exchange funds or with NExT1031’s operating funds,
- Written authorization from the client is required for movement of the exchange funds, and all disbursements require approval of two NExT1031 authorized employees,
- Banks send clients a monthly account statement providing independent verification about where and how our clients’ funds are invested, and
- Depositing exchange funds only with FDIC insured institutions in money market accounts that are insured by the FDIC for up to $250,000.
Security for “Parking” Transactions (Reverse & Improvement Exchanges). NexT1031 also has security measures in place when we act as an Exchange Accommodation Titleholder (EAT) and park property for our clients.
- Each clients’ property is held in a newly created, single-member limited liability company (LLC).
- The EAT gives the client a Pledge and Security Agreement pledging the interest in the LLC holding title to the property.
- A client may request a mortgage or deed of trust from the LLC as additional security
Insurance. NExT1031 carries both errors and omissions insurance and a fidelity bond. To view copies of NExT1031’s proof of insurance please click HERE.
For our “white paper” on this subject please download Safety and Security with NExT1031.5.2015
State of Washington Required Disclosures: “Washington state law, RCW 19.310.040, requires an exchange facilitator to either maintain a fidelity bond in an amount of not less than one million dollars that protects clients against losses caused by criminal acts of the exchange facilitator, or hold all client funds in a qualified escrow account or qualified trust.”