Prior to starting the exchange process, you must engage the services of a Qualified Intermediary (QI). The Taxpayer enters into an Exchange Agreement with the Qualified. Intermediary.Secure the involvement of a Qualified Intermediary (QI) before initiating the property sale. The Exchange documents usually contain: Exchange Agreement: This is the contract between you and your Qualified Intermediary. Funds delivered to Qualified Intermediary. In it, the relinquished property is sold, the replacement property is identified, and the sale proceeds are placed with a Qualified Intermediary. The qualified intermediary safe harbor and the entire Section 1031 exchange.