Capital Gains avoidance

[Suzanne Damon]

Question: My 94-year-old father-in-law in Law is very well-balanced in assets . He has a home in WNY that is owned and was a marital primary residence until the demise of his wife. Now, if he were to sell he would owe over 200K in taxes. I am looking for ways not to be responsible for the house and yet not pay the capital gains tax?  he is very open to any creative ideas. I wonder what investors offer as a means not to have the sellers pay the gain all at once. etc. 

[AJ Wong]

You could try selling as a seller financed deal..20%+ down to cover RE costs and balance to seller..He would hold a private note for 2-3+ years and be taxed on the income. When the balance comes due they could do a 1031X into a new property of the same asset class..could also do a 1031X from the proceeds of a conventional sale. Confirm with a tax pro. Good luck!