IRS Requirement
A Qualified Intermediary is legally mandated by the IRS. Without one, your 1031 exchange cannot be valid — no exceptions.
Local 1031 Expert
YOUR 1031 EXCHANGE, DONE RIGHT.
Utah’s dedicated Qualified Intermediary — protecting your funds, meeting every deadline, and keeping your exchange on track from day one.
No commitment required. Most exchanges begin with a 15-minute call.
Your Funds, Protected
- Fidelity Bond Coverage
- E&O Insurance
- Segregated Funds
- Cyber-Security Insurance
- 1031 Specialists
The Role of a QI
Why a Qualified Intermediary?
A QI is not an optional middleman — it’s a legal requirement. Prospect Exchange is your compliant partner, managing every deadline and safeguarding your funds.
Strict Timeline Guardian
The QI manages critical deadlines: 45 days to identify replacement properties, 180 days to close. Miss either, lose your entire tax deferral.
Neutral Custodian
The QI holds your sale proceeds in segregated accounts, untouched until you identify and close on replacement properties. You never touch the money.
Compliance & Protection
We ensure every step meets IRS Revenue Procedure 91-37 requirements — protecting your exchange, your funds, and your tax benefits.
See How Prospect Exchange Works
Questions about the QI role? Contact us anytime.
Exchange Structures
Forward, Reverse, or Improvement — Which Fits You?
Most investors use a standard Forward Exchange. Some situations call for a Reverse Exchange (buy first, sell later) or an Improvement Exchange (renovate with pre-tax dollars). We will help you identify the right structure before you commit.
Forward Exchange
Most CommonSell first, buy second.
Park your proceeds with your QI, identify a replacement within 45 days, and close within 180 days. The most straightforward structure for the vast majority of investors.
Learn more about Forward Exchange
Reverse Exchange
Buy first, sell later.
Acquire your replacement property before selling your relinquished property. Ideal for competitive markets where you can't afford to wait.
Learn more about Reverse Exchange
Improvement Exchange
Build equity with pre-tax dollars.
Use your exchange funds to renovate or build on your replacement property — effectively reinvesting pre-tax capital into improvements within the 180-day window.
Learn more about Improvement ExchangeHow It Works
Three phases. Clear deadlines.
A 1031 exchange is time-sensitive, but the path should feel organized. Prospect keeps the sale, identification window, and closing timeline moving through one coordinated process.
We document every step so the exchange stays clean from first closing to final replacement.
- Phase 11Closing day
Sell Your Relinquished Property
Proceeds move directly into a secure, segregated exchange account and never touch your hands.
- Phase 245Day 1-45
Identify Within 45 Days
You formally identify replacement property in writing within 45 calendar days of closing.
- Phase 3180Day 1-180
Close Within 180 Days
You close on the replacement property within 180 days, or by your tax return due date.
Miss either deadline and the exchange can be disqualified. We track both deadlines with you.
See the Full Process
The 1031 Advantage
Defer. Reinvest. Build Wealth.
Sell one investment property. Buy another. Defer the capital gains tax — and keep more of your money working.
Defer the Tax Bill
Keep the capital gains tax you would have owed working for you instead of the IRS. Deferral is not tax-free — but it compounds over a lifetime of exchanges.
Reinvest 100% of Your Equity
With a complete 1031 exchange, every dollar of your net equity moves into your next investment. No tax haircut. No reduced purchasing power.
Build Generational Wealth
Hold exchange properties until death and your heirs receive a stepped-up basis — permanently erasing the deferred gain accumulated across your lifetime.
Calculate Your Savings
A complete 1031 exchange lets you reinvest 100% of proceeds, subject to IRS rules. Consult your tax advisor to confirm eligibility for your specific situation.
Trust & Security
Your Funds Are Protected
Sale proceeds sit in a dedicated account in your name, untouched until your replacement property closes.
100%
Segregated Exchange Funds
Exchange proceeds stay separated, documented, and protected through the close.
- Dedicated exchange account in your name
- Documented fund movement through closing
- Coverage details available on request
Protection Ledger
Built around separation, coverage, and compliance.
Fidelity Bond
Coverage carried for exchange funds while they are in our care.
E&O Insurance
Errors and omissions coverage for the exchange process.
Cybersecurity
Protection for client data, documents, and account access.
Segregated Accounts
Funds are never commingled with operating or other clients' accounts.
IRS Safe Harbor
Structured around Revenue Procedure 91-37 to protect exchange validity.
Current bond and insurance documentation is available on request.
Learn MoreTrusted by Utah Investors and Their Advisors
Real client testimonials coming this quarter. For now, here’s what makes us indispensable: Prospect Exchange is an independent, Utah-based Qualified Intermediary built for investors moving serious money — with the local responsiveness national firms can’t match.
Local & Dedicated
A Pleasant Grove–based Qualified Intermediary, focused only on your exchange.
Funds Protected
Your proceeds are wired directly into a dedicated, segregated account held for your exchange alone.
Deadlines Tracked
We track every 45- and 180-day IRS deadline so nothing slips.
Bonded & Insured
Bonded, insured, and cyber-protected on every exchange.
Utah Qualified Intermediary
Based in Utah. Available Statewide.
2100 W. Pleasant Grove Blvd, Suite 190, Pleasant Grove, UT 84062We work with investors, CPAs, real estate agents, builders, and facilitators across Utah with one local point of contact.
Reach Us Directly
Start with the team that will track the deadlines.
Most exchanges begin with a short call to confirm timing, property type, and next steps.
+1 (801) 362-19911031@prospectexchange.netTalk to an AdvisorPrefer a form? We respond within one business day. Office hours: Monday-Friday, 9am-5pm MT.