Our Services
Equity Exchange LLC will serve as a Qualified Intermediary. The Qualified Intermediary,
also known as a Facilitator, Accommodator or Strawman, is the term used to describe a third
party principal to a transaction whose purpose is to transfer property and money thereby
insulating the Exchangor both from agency issues and from actual or constructive receipt
of funds issues. The Qualified Intermediary acts as a middleman by interfacing with
all of the parties in a transaction and, in a delayed exchange, holds the proceeds
from the sale in a Qualified Escrow Account and maintains an arm's length relationship
with the Exchangor thus providing a Safe Harbor. The Qualified Intermediary substitutes
for the Exchangor as the Seller of the Relinquished Property and Buyer of the
Replacement Property. The Intermediary provides the documentation to establish
an exchange and to provide the best paper trail if there should ever be an audit.
The Intermediary instructs the title company or attorney's office in completing the paperwork
to achieve an exchange rather than a sale. The Intermediary is available to answer questions
from all interested parties throughout the entire exchange process.
How do I choose an Intermediary?
- EXPERIENCE. Ask the Intermediary how many exchanges they have handled. If the answer
is not in the thousands, find another Intermediary. It can be very expensive if you have to pay an
attorney to research the law and draft your exchange documentation from scratch.
- COMPETITIVE PRICING. You need not pay a premium to use one of the best Intermediaries
in the country for your exchange. All of the exchanges we facilitate receive individualized, personal
attention to detail. Our one-time flat fee covers the sale of one Relinquished Property and the
purchase of one Replacement Property. We charge only $200 for each additional Replacement Property.
We never charge extra for rush orders, notaries, postage fees or facsimile fees. Once our documents
are delivered to escrow and prior to closing, should an Exchangor find it necessary to
cancel, Equity Exchange LLC will charge only a $250 cancellation fee to cover our costs for
document preparation and delivery.
- SECURITY OF FUNDS. Ask detailed questions on how your money is being held. We routinely
deal with Fifth Third Bank. Exchange proceeds are
deposited and maintained in individual accounts and are titled in Equity Exchange LLC's name for the benefit (fbo) the Exchanger, and Exchangers receive monthly statements directly from the bank. Checks are not ordered,
except for in the case of Improvement Exchanges. Exchange proceeds accounts are always FDIC insured.
Exchangers may also select a bank of their own choice. The exchange accounts must be established in the same
fashion as described above. There is a $50 additional fee for selecting this option.
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