The 1031 exchange is a powerful tool in deferring capital gains tax, thus allowing for greater investment in properties. Visit our library of important 1031 exchange forms.The pros at Equity Advantage have provided everything you need in easily downloadable PDF files. A simultaneous exchange involves two parties completing property closing on the same day and swapping properties for a capital gains tax deferral. Probably an ignorant sounding question: Can a property owner 1031 exchange out of a contract for deed once the contract is fulfilled? The Court held that the transaction constituted an exchange within the meaning of section 1031. Our firm has been representing both individuals and businesses in the purchase and sale of real estate for over twenty years. Special Warranty Deed set forth as Exhibit. B. In the Special Warranty Deed, Buyer shall be granted a license to cross Franklin Real Estate. Client is setting up a 1031 exchange.