All Forum Posts by: Aaron Barrett

I have a deal lined up to buy a duplex in Wisconsin. My parents own a few rental properties that are paid off and we are interested in taking out a HELOC on one of their properties and using it to fund the down payment on my deal. I would then use cash flow to pay their HELOC payments until we are squared up. I understand they can't gift it to me, so can they come on as investors instead since it is not a gift?

I have a deal lined up to buy a duplex in Wisconsin. My parents own a few rental properties that are paid off and we are interested in taking out a HELOC on one of their properties and using it to fund the down payment on my deal. I would then use cash flow to pay their HELOC payments until we are squared up. I understand they can't gift it to me, so can they come on as investors instead since it is not a gift?

Thanks for the advice everyone!

I am looking at purchasing a property that is a tri-plex to buy and hold. It is listed at $31k. I plan on offering $25k although it will take approx. $45k in improvements before it is move in ready. Will my 20% down payment for financing only be based on the sale price of the house or improvements as well?

Bill Exeter Thank you for the advice. However, I'm not willing to wait 20 years to completely own the properties so I plan to do seller financing. As an evolving question if she sells them to me for less then their value wouldn't she/I be taxed the difference?

Steve Vaughan The properties are all in the $50k-$70k range. I want to make the transition as easy as possible and don't want to get into a mess so maybe seller financing may be the best option. She wants out and I want in without completely sabotaging my personal finances as I have other goals besides real estate.

I'm not familiar with the stepped up basis? I would probably just roll them into bigger multi family properties but never hurt to learn something new... The car show is great! Except we become outsiders in our own town! But it's great for the community and the cars are amazing so it's well worth it!

My mother is nearing the end of her working life and wants out of her 3 investment properties. I want to began my investing career at this time. Ideally I would like to have the properties transferred to me and I would return an income stream off the cash flow to her to pay her back for the properties. That being said, I won't follow that method if the gifting of the properties to me would have a large negative impact on her taxes. Thoughts? Location is Wisconsin

My mother is near the end of her working life and wants to get rid of her 3 rental properties/duplexes. Our thoughts are that she could transfer/gift them to me to take over and I would in turn split the cash flow with her to supplement her retirement income. Would this have a large negative effect on her taxes and/or does this seem like a reasonable business move? Location is Wisconsin