What is it?  It delays paying real estate tax gains and depreciation taxes.  Seller feel it is a great way to get out of a property when sales are few and far between.  The 1031 Delayed Exchange is different in the sense that there is a gap between when the sellers sells and buys the other one.  A Reverse Exchange is when a property is bought before selling the original. 

The value,  equity and debt of the replacing property must equal or greater than the value of the original one. 

Proceeds generated by the sale must be held by a Qualified Intermediary as defined by the IRS.  That person is an independent entity and cannot be the taxpayer.  Obviously, it must be someone you can trust.  It important to abide to every requirements the IS establishes or else you could end up paying taxes.  For instance, the delayed exchange must happen within 45 days from the sale of the original property with 180 to close escrow.

Any professional real estate agent and escrow company will guide you through the steps.