Landlord deals with the tenant

[Brandon Colbenson]

Hi, I am a young guy who likes to work with his hand and I am trying to get some rental properties. Over the past 6 months I have developed a friendly relationship with my landlord. He has expressed an interest in selling some of his rental properties because of his age. In the same sentence he expresses that he is hesitant to sell because of getting hit hard with taxes.

My question is do you have any suggestions on a deal I could present to him of how to make this a win-win for both parties? 

Thank you!

[Mason Hickman]

@Brandon Colbenson

If the owner would seller-finance, he could spread his taxable income over the life of the loan and only pay on the cash he receives each year. 

Another option is to educate the seller on the benefit of a 1031 exchange to delay the tax hit.