Best Way to Get Parents' Rental from Them

[Lauren Keen Aumond]

My parents own a rental property in Kenneth City (near St. Pete, FL) free and clear. My father is OVER the landlording game. As a matter of fact, my mom owned this property when they married almost 30 years ago so I'm not sure he was ever into it to begin with. They won't sell the property because of the taxes - he's still working and they're in a high tax bracket. The plan is to sell the property at some point to help fund their retirement. Since I'm developing a passion for real estate, I would like to find a way to "get" this property from them. I say "get" because I'm not sure if buying it from them makes sense or not. What's the best way for me to end up owning this home (other than trying to convince them to die owning it) with the least amount of tax burden on both sides?

Note that my parents are willing to partner with me on real estate deals. They see the value, they just don't want to be active. This is why I'm thinking we should work with what they already own, then work on new deals later.

Thanks!

[Frank Gucciardo]

After owning it for 30 years, they have run out of depreciation and it likely makes better tax sense to sell the property.  I'm by no means a tax professional so I would check with their accountant.

One thought on transfer, if the property makes money, is to do owner finance.  You pay them an agreed upon down payment amount (or no money down) and then a monthly mortgage payment based on agreed upon terms (interest rate and term).

Best of luck!