Fee Schedule

The following definitions apply to the terms and references below:

Relinquished Property – This is the property you will sell to start the exchange (it is sometimes referred to as the “first leg” property). Your Relinquished Property can consist of more than one property.

Replacement Property – This is the property you will acquire to complete the exchange (it is sometimes referred to as the “second leg” property). Your Replacement Property can consist of more than one property.

Sale Price – This refers to the sale price of the Relinquished Property. If there will be more than one Relinquished Property, the Sale Price is the aggregate sale prices of all of the Relinquished Properties.

Basic Fee – This is our fee for obtaining necessary information, preparing the Exchange Agreement, assignment forms, replacement property identification form and other paperwork, dealing with the closing agent who is handling the closing of the sale of your Relinquished Property, obtaining the funds to be escrowed, dealing with the closing agent who is handling the closing of the purchase of your Replacement Property including delivering funds to the closing agent, etc. We collect the Set-Up Fee by deducting it from the sale proceeds of the Relinquished Property when we receive the funds to be placed in escrow from the closing agent. If we will not actually be receiving the funds because, for example, the exchange will be simultaneous, we will request that this fee be placed on the closing statement for the Replacement Property so the closing agent can send us a check for the Basic Fee.

Additional Property Fee – This fee only charged for each Relinquished Property and each Replacement Property used to complete the exchange that is more than one property each, so in most exchanges it will not apply (one Relinquished Property exchanged for one Replacement Property). However, any Additional Property Fee which would otherwise be applicable in multi-property exchanges is waived for any Relinquished Property or Replacement Property closing for which Riddell Law Group (www.rlglawfirm.com) acts as closing agent and issues the title insurance. If applicable because there is more than one Replacement Property (and the subject Replacement Property is not being closed by Riddell Law Group as mentioned above), the Additional Property Fee will be on the closing statement for the applicable Replacement Property so the closing agent can send us a check for the fee following closing. For additional Relinquished Properties, the applicable Additional Property Fee(s) will be collected in the same manner as the Basic Fee. This fee is designed to compensate us for dealing with multiple closing agents, so does not apply where there are multiple Relinquished Properties all of which are being sold at one time in one closing or multiple Replacement Properties all of which are being purchased at one time in one closing.

Rush Fee – Sometimes we are asked to drop what we are doing and prepare for an exchange on short notice. This requires reallocation of resources, and may involve overtime. So, for exchanges where we do not receive the filled out Questionnaire more than 48 hours before the closing is scheduled for the first of the Relinquished Properties, this fee will be added, and collected in the same manner as our Basic Fee.

Cancellation Fees – If we prepare all of your exchange documents and then you cancel your exchange before we receive any funds from which to deduct our applicable fee (relinquished property proceeds for regular forward exchanges, from the closing agent for reverse exchanges, etc.), a $500 cancellation fee for regular forward exchanges and a $750 for other exchanges will apply. Please do not submit a Questionnaire unless you have made a final determination, in consultation with your tax advisor or CPA, that you are committed to doing the 1031 exchange.

Sale Price	Under $300,000	$300,000 to $600,000	over $600,000 to $1,000,000	Over $1,000,000
Basic Fee	$700	$900	$1,100	Contact us directly for fee
Wire Fee	$50 flat fee to cover all wire transfers for the exchange.
Additional Property Fee(s)	$250 will be added per additional property in multi-property exchanges, unless the fee is waived because the closing (including issuance of title insurance) on any such additional property is done by Riddell Law Group.
Interest Bearing Account Fee	$300 to escrow your funds in a separate interest-bearing account with all interest accrued thereon payable to you.
Rush Fee	$250, where applicable per above, in addition to all other applicable fees.
Reverse Exchange	$1,000 Surcharge.
Construction Exchange	$1,500 Surcharge.
Reverse Construction Exchange Fee.	$2,000 Surcharge.

Example 1: Exchanger wants to sell one relinquished property for a total sale price of $250,000 and purchase one replacement property for $400,000. We receive the submitted questionnaire more than 48 hours before the closing. Fees would be $700 Basic and $50 Wire, for a total Intermediary fee of $750.

Example 2: Exchanger will be doing a Reverse Exchange and wants to sell two relinquished properties (rental duplex for $200,000 and a vacant investment lot for $150,000), for a total sale price of $350,000 and purchase one replacement property for $500,000. We receive the submitted questionnaire more than 48 hours before the closing. Riddell Law Group will not be handling any of the closings. Fees would be $900 Basic, $50 Wire, $250 Additional Property Fee, and $1,000 Reverse Exchange Surcharge Fee, for a total Intermediary fee of $2,200.

Note: all fees are earned upon receipt, no refunds.

Note: Customized fees will be provided for exchanges:

(a) where the sale price(s) of the Relinquished Property will exceed $1,000,000; or
(b) that are not standard simultaneous, delayed or reverse exchanges such as build-to-suit exchanges, construction exchanges, etc.

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