All Forum Posts by: Andrew Great

I echo all that @Jeff B. said (especially the consulting an attorney) but without knowing the "why" for changing the title out of your name and what the relative's status would be in the property (does the relative know your strategy?), I can offer a technical way of doing what you want...

Deed the house to the relative; create a promissory note for (trivial amount) so that you can take "deed in lieu" when you want to sell - that solves the "so I can have right to sell".

For renting, just create a (master) lease with your relative where you rent it for $1 per month and have the exclusive right to sub-let - that solves the "so I can rent it out".

As far as "other legal decisions" - you'd have to be more specific but with the word "legal" in there, I refer back to consulting an attorney there.

Marty, thank you for your answer. Can you recommend any good attorney in the area?

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Originally posted by @Nicole Post:

Andrew, you should put your properties in a land trust. It protects you and your property and you have all rights to it. The land trust protects you from any lawsuits as it doesn't show you as the legal owner. I am not sure why you are planning to put the property in a relatives name but you are not protected from losing it in a lawsuit. Trust me, I have been through this. Good thing it was in a trust. It was in an LLC and that didn't protect me either.

Nicole, what type of attorney would you recommend to consult? Who specializes strictly in condominiums or something else?

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I would like to change the title on one my properties (condominium) to my relative. I still need to have a legal right to sell, rent out and make other legal decisions. Is there any way to do it? What is the process? What are the possible disadvantages?

Thank you in advance for a relevant answer.

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I purchased a property with a tenant at the end of 2016. At the time of closing the selling price was decreased by the total of the security deposit and last month payment. I didn't get money personally by paid less at the closing.

My question is do I need to add that amount that I was credited at the closing to my rental income and report to IRS?

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I have a rental townhome which is Total Assed value $125K. I spoke to the Appraisal office and I was told that because it's a townhome they do not separate between land and building. How can I determine or calculate Land Value for IRS Depreciation form?

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Originally posted by @Logan Allec:

"price + closing cost"

Certain closing costs. Others may need to be amortized, and other things running through the closing statement may be deductible in the year of purchase. There may even be things running through your HUD-1 that doesn't fall into any of these buckets. This is why people typically hire CPAs...

"Basis for land only using the formula you mentioned"

Yes, multiply total basis by the assessor's percentage for land.

"Could you tell me please what site I can use to look up that information in Florida?"

It's county-by-county. I would suggest you Google "X County assessor" where X is the name of the county where your property is located in and look for something on that site like "property tax information" or "property tax data" or something like that.

I just spoke to the Appraisal office and I was told that because it's a townhome they do not separate between land and building. it's just total value, example $125K. What should I specify for Basis for land only, in this case?

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Originally posted by @Logan Allec:

@Andrew Great

@Andrew Great"Is this related to the property I'm renting out or they mean some other properties?"

Yes, this is for property you're renting out.

"How can I calculate Basis for land only?"

There are a few ways to do this for SFRs, but what people typically do is take the total basis (not just the purchase price; you have to make various additions for closing costs, etc.) and multiply it by how the county assessor's land percentage (i.e., assessor's "land value" over assessor's "total value"). This information is public record, and in most counties you can find it online.

So, where it says Add Property I add the property I'm renting out and where it asks for Properties Total Basis I specify price + closing cost and for Basis for land only using the formula you mentioned, right? Could you tell me please what site can I use to look up this information in Florida? Thank you in advance

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I'm working on preparing my taxes using HR Block and I have a few questions related to the Form 4562. This form is for my rental property depreciation. It says I can include the items below.

Computers and computer software
Rental real estate
Copiers and other office machines
Specialty equipment
Office furniture
Other property expected to last more than one year

As for the item number 2 - Rental real estate. Is this related to the property I'm renting out or they mean some other properties?

In addition, it asks me to provide information like

Property's total basis
Basis for land only.

How can I calculate Basis for land only?

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I purchased a rental property at the end of the year. At the time of closing, I paid property taxes for the September, November, and December. The rest of the taxes was deducted from the purchasing price at the time of closing and seller was responsible for them.

I'm preparing my taxes right now and I'm not sure if have to submit taxes for the whole year or just for the three months.

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All Forum Posts by: Andrew Great

Andrew Great has started 6 posts and replied 10 times.

Post: Looking for a real estate investors

Post: Changing title to a relative?

Post: Changing title to a relative?

Post: Changing title to a relative?

Post: Do I need to report security deposit and last month payment?

Post: How can I calculate Land Value for IRS Depreciation from?

Post: Can I add my rental property to a form 4562 Depreciation?

Post: Can I add my rental property to a form 4562 Depreciation?

Post: Can I add my rental property to a form 4562 Depreciation?

Post: How much property taxes should I submit to IRS?