The 45-day identification period is the first hard deadline in a 1031 exchange. This guide shows exactly how to count the days, walks through a worked example, and explains the identification rules you must follow in writing.
General information only — not tax, legal, or financial advice. A 1031 exchange has strict, unforgiving deadlines and significant tax consequences. Work with a CPA and a qualified intermediary (QI) before you act. A REALTOR® cannot serve as your QI. Verify current IRS and California FTB rules with a licensed tax professional.
How to count your 45 days
Counting is simple but unforgiving. The day your relinquished property transfers (the closing date) is day zero. The next calendar day is day one. You count every day after that — weekends and federal holidays included — until you reach 45.
- Note the exact date your relinquished property closed (recording/transfer date).
- Start counting on the very next calendar day as day 1.
- Count 45 consecutive calendar days, including weekends and holidays.
- The 45th day is your identification deadline — typically by 11:59 p.m. local time.
- Deliver a signed, written identification to your qualified intermediary (not to yourself or your agent).
Worked example
Suppose your relinquished property closes on May 1. Day 1 is May 2. Counting forward 45 calendar days lands your identification deadline on June 15. Even if June 15 is a Saturday, the deadline does not roll to Monday — it stays June 15. Your written identification must be in your QI's hands by that date.
Always confirm the exact dates with your qualified intermediary in writing. Calendars and time zones cause costly errors. Build in a buffer rather than identifying on the final day.
What a valid identification must include
- A clear, unambiguous description of each property (street address or legal description).
- Your signature and the date.
- Delivery to your QI (or another permitted party) — not retained informally.
- Compliance with one of the identification limits: the 3-property rule, the 200% rule, or the 95% rule.
The three identification rules
- 3-property rule: identify up to three properties regardless of value.
- 200% rule: identify any number of properties as long as their combined fair market value does not exceed 200% of the value of what you sold.
- 95% rule: if you exceed both limits above, you must actually acquire at least 95% of the value of everything you identified.
See our companion 200% rule worksheet for the math.
Why the deadline is not flexible
The 45-day rule is statutory. The IRS does not grant extensions for inspections, financing delays, holidays, or weekends. The only common exception is a federally declared disaster, which can trigger published IRS relief. Use a qualified intermediary; deadlines are strict and not extendable except by federal disaster relief.
Because the window is short, experienced exchangers line up candidate replacement properties before they close the sale.
How Brian helps
Brian coordinates with your CPA and QI so identification candidates are lined up early — often before your relinquished property closes. For California sellers buying replacement property locally or out of state, that head start is what keeps the 45-day window from becoming a crisis.
Frequently Asked Questions
How is the 45-day period counted?
The day after your relinquished property closes is day 1. You count 45 consecutive calendar days, including weekends and holidays. The 45th day is your identification deadline.
Does the deadline extend if day 45 is a weekend?
No. Unlike many tax filing deadlines, the 45-day identification deadline does not roll forward to the next business day. It is a fixed calendar date.
Can I change my identified properties after 45 days?
No. After the 45th day your identification is locked. You can revoke and re-identify only within the 45-day window, in writing.
Who do I give my identification to?
You deliver the signed, written identification to your qualified intermediary or another permitted party — never just to yourself or your real estate agent.
Is the deadline ever extendable?
Only by federally declared disaster relief published by the IRS. Routine delays like financing or inspections do not extend it.
Is this calculator tax advice?
No. This is general educational information. Confirm your exact dates and strategy with a CPA and qualified intermediary.
