All Forum Posts by: Chris Schwartz

Amazingly descriptive answer! Thank you!

That clarifies! Thank you Josh!

Thanks for the reply Josh! The question is more about how to get the money from the seller to the other family members who are not on title. I assume that money will be taxed somehow, whether it be a gift or claimed as income(?)

Hello BP Community, I need some advice! My family has been working to renovate a family member's house after they moved into a retirement home. Happy to report she is loving it there and very happy, much better off! We came to the following agreement in terms of home sale and renovation:

Owner claims $10k over what fair market value was prior to renovation ($210k). Family members claim any excess (aiming for a list price of $250k). 

Title Status: Sole ownership, transfer on death clause (to family doing renovations). 

What is the most efficient way to set this up at the closing table so that funds can be allocated with the least tax burden on all? Family trust, Gift funds, expense owner for hours worked and materials purchased? 

Thank you for your insight!

 This is an excellent answer, thank you!

Great to hear - and I needed to hear that I think. I've also walked through homes like that and thought the same thing...then behold, they go under contract sometimes even above ask. It's certainly intimidating when you're weighing whether to put $20-40k into a property or not. 

Location/Listing Price Problem:

I have a house that will be renovated and flipped for sale. A good number of homes in the surrounding area have been renovated and are fetching $260k+ in SP....however I'm having a hard time trying to price mine for market. The difference and con is this house is at the end of a street that both backs up to the rear of a commercial store and is very near a busy highway. The state of OH took 90% of the back yard of the house across the street (nearest the highway) for widening - they have since put up a giant ugly metal barrier right in their backyard. Pros of this are noise reduction...cons are obvious. Can't really see the metal wall from my house but you can see the roof to the commercial building as you're driving in and in the winter the trees provide less cover - although there is a very high and nice privacy fence to separate. 

My question: How would you price this home and how much of a hit, if any, would you expect due to location? See photos for reference