Wanting to get out of rental property investment

[Rosie Marr]

Hello! This is my first time creating a post on here so hopefully I’m doing this right.

But I have a question if anyone could please help. I have a friend who’s wanting to get out of the rental business because of the passing of a loved one. But how would they get out of it without having Uncle Sam all in their pocket?

[Account Closed]

@Rosie Marr

Uncle Sam always wants it’s piece, although there are ways to get creative. There are funds that allow you to contribute the assets to the fund in exchange for ownership. The contribution, based on facts and circumstances, would not be considered a sale. This allows you to still retain interest in the fund and a return on the investment without the hassle of ownership.

Although, I would discuss the tax implications with a tax professional. Not sure who owned the property but there may also be a benefit for a step up in basis based on the death.