Every year, without fail, I hear some version of this:
“I’m thinking about a 1031, but I guess I’ll need to wait until next year.”
“Don’t 1031 exchanges only really work at the end of the year?”
“Isn’t there a better time of year to do a 1031?”
Let’s get something straight right out of the gate:
There is no such thing as a “1031 Exchange season.”
No calendar window.
No quarterly cutoff.
No magic month when the IRS suddenly allows tax deferral.
And believing otherwise doesn’t just create confusion, it can cause investors to miss opportunities, rush bad decisions, or worse, trigger completely avoidable tax bills.
Let’s set the record straight.
A Sale Triggers a 1031 Exchange — Not a Season
A 1031 Exchange doesn’t begin because the calendar flips to January, June, or December.
It begins the moment you close on the sale of your relinquished property.
That’s it.
The IRS doesn’t care if you sell:
- In January or July
- During an election year or a leap year
- In a “hot market” or a quiet one
Once your property closes, the clock starts:
- 45 days to identify replacement property
- 180 days to complete the exchange
Those timelines are fixed. They are measured in days, not months or seasons.
The misconception that exchanges only work at certain times of the year usually comes from two places:
- Tax season confusion
- Market cycle myths
Let’s address both.
Tax Season Has Nothing to Do With Exchange Timing
Many investors incorrectly associate 1031 Exchanges with filing taxes.
That’s understandable, but it’s wrong.
A 1031 Exchange is governed by transaction dates, not tax filing deadlines. You don’t need to complete an exchange by December 31st for it to “count.” You don’t need to wait until after April 15th to get started.
NOTE: If the sale of your relinquished property closes less than 180 days from the following April 15th tax filing date, you will probably want to file for an extension for the September filing date.
In fact, some of the most strategic exchanges I see happen when investors stop thinking about the tax calendar and start thinking about planning.
Because planning, not timing, is the real key.
Markets Move — The Code Does Not
Another myth I hear often is that certain seasons are “better” for exchanges because inventory is higher, interest rates are lower, or deals are easier.
Markets absolutely have cycles.
The 1031 Exchange rules do not.
Waiting for the “perfect” time of year often leads to:
- Rushed identifications
- Limited replacement options
- Emotional decisions under deadline pressure
Ironically, investors who believe they must exchange during a narrow window are often the ones who end up in trouble.
The most successful exchanges I see are the ones that start before a sale, not after.
You Can Plan a 1031 at Any Time — And You Should
Here’s the part that rarely gets discussed:
You can plan for a 1031 Exchange at any time of the year—even if you’re not selling yet.
In fact, that’s exactly what experienced investors do.
They don’t ask, “Is now the right time of year?”
They ask, “What do I want my next property to do for me?”
Cash flow.
Management relief.
Portfolio diversification.
Estate planning.
Those goals don’t live on a calendar. And neither should your strategy.
The Real Risk Isn’t Timing — It’s Misinformation
The idea that 1031 Exchanges only work during certain times of the year creates hesitation where confidence should exist.
It causes investors to:
- Delay sales that should happen
- Miss opportunities they were already qualified for
- Enter exchanges without adequate preparation
And that’s exactly how exchanges fail.
Not because of the month.
Not because of the market.
But because of poor planning and bad assumptions.
Final Thought: Stop Waiting for a “Right Time” That Doesn’t Exist
If you’re holding an investment property and wondering whether a 1031 Exchange could help you reposition, simplify, or grow, the time to get informed is now.
Not next quarter.
Not next year.
Not “after tax season.”
There is no 1031 season.
There is only preparation, strategy, and execution.
And when those are done correctly, the calendar becomes irrelevant.
That’s the truth investors deserve to hear—and it’s why education always comes before transactions at Best 1031 Online.
We Are Here to Help!
If you are an investment property owner, schedule a no-obligation strategy call with me at www.Best1031Online.com, or contact James Bean
of SVN-Rich Investment Real Estate Partners, CA DRE# 01970580, at 805-779-1031
or email at james.bean@svn.com.
If you are an agent/broker, I am happy to discuss strategies with you on how to best serve your next listing client in preparing them for a successful exchange. Please visit the site and click on the Agent’s button located at the top right-hand corner of the Home Page!
Don’t know what certain terms mean?
Click here for a Glossary of Terms: https://svn-best1031online.com/glossary/
Stay Connected with Best 1031 Online!
Want more insights on 1031 Exchanges, real estate strategies, and smart planning to preserve both wealth and family harmony?
Subscribe to my YouTube channel, Best 1031 Online!, where I release monthly episodes of QI Corner and other expert content designed to keep you informed and ahead of the curve.
Subscribe to Best 1031 Online!
I cannot do this alone!
This Channel would not exist if it weren’t with the daily support of CRE Task Wizard!
Go visit CRE Task Wizard at https://cretaskwizard.com/ to see how they can get you doing what you are best at, doing deals!
Please stay tuned and follow me on LinkedIn, X, Instagram, TikTok & Facebook @1031BrokerJames.
All information is deemed to be accurate and is not tax or legal advice. All investors/taxpayers should consult their CPA, tax attorney, and investment advisors.
The post There Is No “1031 Season” — And Believing There Is Can Cost You appeared first on Preserve Your Wealth in CRE.