Best 1031 Exchange Companies in Arizona: How to Compare Them in 2026

Arizona's 2.5% flat tax is low, but the federal tax on a sale is not, which is why Arizona investors still exchange. We did not find an Arizona law that licenses or sets minimum protections for the companies that hold exchange money, so the comparison is up to you. Here are the firms that say they have an Arizona office, what their sites say, and the questions that separate them.

The short answer

The best 1031 exchange company for an Arizona sale is one that shows you in writing how your money is held and who can move it, carries bond and errors-and-omissions coverage you can see on paper, and gives you a named person through day 180. Where it is located matters less: exchanges run by wire, e-signature and phone.

That written proof matters more in Arizona than in some states. California, Colorado and Oregon set minimum bonds or account rules for these companies by statute. We did not find an Arizona statute that licenses or regulates qualified intermediaries, and federal law does not license them either. In Arizona, the protections are whatever the firm actually has and puts in writing.

What a 1031 exchange defers in Arizona

• State income tax. The Arizona Department of Revenue states that "the tax rate for Arizona taxable income is 2.5%," and uses 2.5% for 2026 estimated payments (ADOR, 2026 Form 140ES). Arizona also lets you subtract 25% of a net long-term capital gain on assets acquired after December 31, 2011 (A.R.S. §43-1022).
• Federal tax: long-term capital gains tax, the 25% maximum rate on unrecaptured depreciation, and for many sellers the 3.8% net investment income tax. That is usually the larger bill, and a 1031 exchange defers it (26 U.S.C. §1031). To see it on your own numbers, use the depreciation recapture calculator.

Arizona 1031 exchange companies: what their sites say

These firms state on their own websites that they have an Arizona headquarters or office. This is not a ranking. Each entry summarizes the firm's own site as read on October 19, 2026; "not stated" means we did not find it there, not that the firm lacks it. We list only firms whose own sites give an Arizona office, which is why the list is short; many national firms serve Arizona without one. Confirm everything in writing with the firm.

Leah Badach, CES (the author of this page) works with Arizona sellers remotely from Brooklyn, New York. She is a Certified Exchange Specialist with 11+ years of 1031 exchange experience, and the qualified intermediary she works with confirms in writing, before you sign, how your funds are held. Ask her the same questions as everyone else on this list.

How to choose when the state sets no minimum

Questions to ask any Arizona intermediary

1. Where will my funds sit, in whose name, and at which bank?
2. Does a withdrawal need my written approval?
3. Can I see the fidelity bond and E&O certificates, and do they cover this exchange?
4. Who earns the interest on my funds, and how is it reported?
5. How do I deliver my 45-day identification, and how do you confirm receipt?
6. If I buy outside Arizona, have you handled exchanges into my target state, including any state withholding or reporting there?
7. Who is my day-to-day contact, and what is their training or certification?

Arizona closing costs and buying elsewhere

• No transfer tax. Arizona's constitution bars any new tax or fee on transferring real property, apart from those in existence on December 31, 2007 (Ariz. Const. art. IX, §24). The county recorder collects a two-dollar fee on a deed (A.R.S. §11-1132), and the deed needs an Affidavit of Property Value signed by buyer and seller (A.R.S. §11-1133), plus ordinary recording charges.
• Selling as a nonresident. We did not find an Arizona rule requiring withholding at closing on a nonresident's sale. A nonresident's gain on Arizona real estate is Arizona income, reported on Form 140NR in the year it is recognized (ADOR Form 140NR instructions).
• Buying in another state. The replacement property's state may withhold or tax when you eventually sell there, and some states track gain that leaves them. Ask your CPA before you identify.
• Wherever you buy, the federal clocks are the same: 45 days to identify in writing, and the replacement must be received by the earlier of day 180 or your tax return due date, including extensions (Treas. Reg. §1.1031(k)-1). See the full timeline and, for Phoenix-area sales, 1031 exchanges in Phoenix.

Frequently asked questions

Is a 1031 exchange company regulated in Arizona?

We did not find an Arizona statute that licenses or regulates qualified intermediaries, and there is no federal license. California, Colorado and Oregon set minimum bonds or account rules by law. Ask any intermediary for its bond and E&O certificates and for the account terms in writing.

Do I need a 1031 exchange if Arizona's tax is only 2.5%?

The 1031 exchange defers federal tax as well as Arizona's: federal capital gains tax, tax on unrecaptured depreciation at up to 25%, and for many sellers the 3.8% net investment income tax. The federal part is usually the larger bill.

Does Arizona withhold tax when a nonresident sells?

We did not find an Arizona withholding requirement at closing. The gain is still Arizona income for a nonresident in the year it is recognized, reported on Form 140NR; a gain fully deferred in a 1031 exchange is not recognized that year.

Do I need a qualified intermediary located in Arizona?

No. The intermediary can be anywhere in the United States. What matters is how it holds your funds, the coverage it carries, and whether it can meet your timeline.

Which 1031 exchange companies have offices in Arizona?

On their own websites, The 1031 Exchange Company LLC (Scottsdale and Tucson), Exeter (Phoenix) and IPX1031 (Gilbert) give Arizona addresses, and Asset Preservation states an office in northern Arizona. Confirm current details with each firm.

Sources

• Arizona Department of Revenue: 2026 Form 140ES booklet, 2025 Form 140NR instructions.
• A.R.S. §43-1022; A.R.S. §11-1132; A.R.S. §11-1133; Ariz. Const. art. IX, §24.
• 26 U.S.C. §1031 and Treas. Reg. §1.1031(k)-1.
• Firm details: each firm's own website, linked in the table, read October 19, 2026.

Educational information, not tax or legal advice. Firm details are as stated on each firm's website and may change; confirm them in writing.