Reverse 1031 w/multiple properties & states

I have a few questions regarding reverse exchanges:

  1. What issues regarding buying multiple properties, in a different state, from that of the single relinquished property?

  2. I will not be able to self finance all the replacement properties, so how do lenders (any type) work with this type of situation and under what terms?

  3. What is cost of doing a reverse 1031? Does it depend on the number of properties?

  1. Some states (e.g. - CA) require that a 1031 be done in that state for a state income tax offset.

  2. No names to recommend, but banks can & will work with these exchnages, else there’d be precious few of them going on.

  3. A normal deferred exchange runs $600 to $1,000. A reverse exchange with multiple properties will obviously run more. I’d use an established outfit & thereby pay a little extra. Some of the fly-by-night cheapo joints have a distressing tendency to disappear…with escrowed money!

John Hyre