Different rules apply for real estate exchanges and personal property exchanges .
The like-kind requirement is, generally speaking, easily satisfied in connection with exchanges of real property. This means that land can be exchanged for residential property, residential can be exchanged for commercial, or commercial property can be exchanged for industrial property. Property owners who own residential investment property or a commercial property that requires significant time and effort can exchange this property for a NNN property that is subject to a long term lease. The tenant is responsible for maintenance, insurance and taxes, enabling the property owner to remain fully invested in real estate while moving out of the active property management business. As with personal property, it is possible to exchange different quantities of properties, for example a property owner can sell two properties and take back one, or sell one and take back three to complete his or her exchange.