Qualified Intermediary
An independent party that holds sale proceeds during a 1031 exchange so the investor never takes receipt of the funds.
Nashional Investments · Updated October 2026
Educational definition only, not investment, tax or legal advice.
In practice
In a 1031 exchange, small details decide whether the full gain is deferred: the identification deadline, the value and debt you replace, and who holds the sale proceeds. The term Qualified Intermediary comes up when we review an exchange or a Delaware Statutory Trust offering with a client. We read the offering memorandum, check the sponsor's track record and fees, and confirm the replacement fits the exchange rules before anything closes.
Common questions.
What does the term Qualified Intermediary mean?
Why does Qualified Intermediary matter for investors?
See how this fits into a real plan on our 1031 exchanges and DSTs page.
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