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North Oak ExchangeSection 1031 Qualified IntermediaryStart an exchange

Qualified intermediary due diligence

How to choose a qualified intermediary for a 1031 exchange

The QI becomes a central part of a time-sensitive transaction. Evaluate the provider’s independence, documents, coordination, fund controls, security procedures, responsiveness, and fees before the sale closes.

Talk with North Oak ExchangeFirst: understand the QI’s role

Start with fit and independence

Choose the QI before your sale closes.

A provider should be able to explain the exchange sequence clearly, identify what it needs from your closing team, and document the arrangement before you transfer the relinquished property. Your tax or legal adviser should also confirm that the proposed QI is not a disqualified person.

There is no substitute for transaction-specific diligence. Ask the same questions of every provider, request important answers in writing, and verify material representations independently.

Eight-point checklist

Questions to ask every prospective QI.

Use these topics as a starting point with the provider and your own advisers.

01

Independence

Confirm that the proposed QI is not you or a disqualified person under the exchange rules. Disclose recent attorney, accounting, brokerage, or agency relationships to your advisers.

02

Relevant process experience

Ask about delayed, reverse, or improvement exchanges as applicable, and whether the provider regularly coordinates transactions involving your type of real property.

03

Documents and closing coordination

Ask who prepares the exchange agreement, assignments, notices, and closing instructions—and who will work directly with the title company or closing attorney.

04

Fund controls

Request a plain-language explanation of account title, access permissions, authorized disbursements, verification steps, and any limits on the exchanger's access during the exchange.

05

Wire-fraud procedures

Confirm how initial and changed wiring instructions are delivered and independently verified. Never rely solely on an email containing new instructions.

06

Insurance and bonding

Ask which fidelity bond, errors-and-omissions coverage, cyber coverage, or other protections apply, including limits, exclusions, and the named insured. Verify material representations.

07

Deadlines and responsiveness

Find out who monitors the 45-day identification and 180-day exchange periods, how reminders are delivered, and who is available when a closing date moves.

08

Fees and boundaries

Get the base fee, additional-property, wire, rush, reverse, improvement, and other potential charges in writing. Confirm that tax, legal, financing, and property advice remain with your own advisers.

Fund-security questions

Ask for specific answers before money moves.

Security practices vary. Do not assume that a label, account type, insurance policy, or general promise provides a particular protection.

How will the account holding my exchange funds be titled?

Who can access the account and approve a disbursement?

What written authorization is required before funds are sent?

How are wiring instructions and later changes independently verified?

What fidelity bond, E&O, cyber, or other coverage applies?

How and when will I receive transaction and balance records?

North Oak’s wire-security guidance

Pause and investigate

Qualified intermediary red flags.

North Oak Exchange

Focused, nationwide exchange coordination.

North Oak Exchange is the trade name of Secure Exchange, LLC, an independent Section 1031 qualified intermediary based in Vidalia, Louisiana. We coordinate delayed, reverse, and improvement exchanges nationwide, with a particular focus on farms, timberland, recreational acreage, and commercial property.

We prepare the exchange documents, coordinate with the closing team, receive and disburse exchange proceeds under the exchange agreement, and keep our role distinct from the advice provided by your CPA, attorney, broker, lender, and other professionals.

Start an exchange inquiryAbout North Oak Exchange

Land and real-estate owners

Planning an exchange involving land?

Our landowner guide connects the core rules to farmland, timberland, recreational property, inherited land, vacant land, and mixed-use situations.

Read the landowner’s guide

Common questions

Choosing a QI FAQs

Is the cheapest qualified intermediary the best choice?

Price is only one factor. Compare the clarity of the engagement, experience with your exchange type, responsiveness, closing coordination, fund controls, verification procedures, insurance disclosures, and all stated fees.

Can my attorney, CPA, broker, or agent serve as my QI?

A person who is the exchanger or a disqualified person generally cannot serve as the QI. Certain agents who have served the exchanger within the preceding two years may be disqualified, subject to specific exceptions. Ask your advisers to review independence before closing.

What should I ask about exchange funds?

Ask where and how funds will be held, how accounts are titled, who can authorize a transfer, what verification is required, whether written authorization is used, and which insurance or bonding protections apply. Request answers in writing.

When should I select my QI?

Choose and engage the QI before the relinquished-property closing. Selecting the provider early gives the QI time to review transaction details and coordinate documents and wiring instructions with the closing team.

Compare the process

Ask us your due-diligence questions.

Start early enough to evaluate the engagement and coordinate with your closing professional before the relinquished property transfers.

Start the exchange questionnaire

General educational information only—not individualized tax, legal, accounting, investment, or real-estate advice. Consult your own professional advisers.