Catherine BellEmpowering Women to Create Financial Freedom Through Passive Income, Real Estate, and Social Impact

Deal Breakers? Navigating Property Due Diligence & 1031 Exchange Secrets! #shorts

19 Jun 2026 · 1 min

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0:38

In this concise YouTube short, two real‑estate professionals walk through a rapid due‑diligence checklist for property acquisitions and explain critical 1031 exchange constraints. They highlight key deal‑breaker items—lease terms, legal and tenant issues, Debt Service Coverage Ratio (DSCR) thresholds, and environmental exposure—that determine a go/no‑go decision. The conversation then shifts to 1031 exchange mechanics, emphasizing the like‑kind requirement: a leased property cannot be swapped for a ground‑up development, but the reverse is permissible. They also note the importance of a trusted network of qualified intermediaries who can facilitate compliant exchanges and ensure the replacement property meets or exceeds the original’s value.

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Path 3—1031 which is not us due diligence checklist okay so lease legal tenant um keep going down I'm curious if keep going down down down down down down down down down objection tenant this product DSCR's tight environmental exposure go no-go so jump in here real quick yeah please So on the 1031, you jump past it, but that's actually something that what we can do is we have a network of people that are in the 1031 market, right?
And so we can reach out to the qualified intermediaries that we have relationships with. You have anyone that has a profile like this? Because it has to be equal or greater value. It has to be like, you know, a like-kind, an in-kind property or like-kind property. So meaning like in this case, based on what I'm hearing, it's, it's, it's, it's a leased property. So you can't necessarily go from a, from a leased property over to a ground-up development, but you can do a ground-up development into a leased property when you're doing 1031.
Right? Right.
So yeah, just finding some, you know, I mean, I like that it makes that suggestion for 1031 because it gives me the opportunity to reach out to my network and say, hey, do you guys want to be partners on Yeah, okay.