All Forum Posts by: Account Closed

Thank you so much for answering my questions! I really appreciate it @Natalie Kolodij

Exactly how would i show that my intent was to hold it as a rental?

Would i still be able to 1031 exchange If I were to put that property into an llc?

I could have the monthly rent go directly to the llc so that i will have proof of income for the house. That would then make the house qualify as an investment property. correct? @Natalie Kolodij 

I forgot to mention that this property was my grandmas second house. she had tenants in it for at least 6 months but it wasn't legitimate. No lease or contract. They just paid my grandma on the date that they had agreed on. As soon as i found out there was no contract or lease i advised my grandmother to have them move out (they weren't good tenants) . We gave them a 3 month notice so that they'd have time to find another place. 

The house is empty now and is having some cosmetic work done. so we can start over and do everything legitimate and in compliance with the law. @Natalie Kolodij

Great, that actually works out perfectly. That should give me some time to do some small improvements and hopefully get some tenants in soon. Just to clarify, i should rent this house out for at least a year in order to qualify? @Natalie Kolodij

Hey guys, so this is the situation.

I was gifted a paid off single-family home recently. the property needs a bit of work here and there but overall it is in great condition!

I plan on fixing it up a bit and selling so i can have enough capital to buy a small multi-family.

I've read that if the recipient of the "gift" sells the property quickly then he/she will be taxed significantly more. However

 "Under Section 1031 of the United States Internal Revenue Code (26 U.S.C. § 1031), a taxpayer may defer recognition of capital gains and related Federal income tax liability on the exchange of certain types of property."

so my question is..

Could i use section 1031 to my advantage in my particular instance?

Thanks BiggerPockets community!

@Natalie Schanne thank you Natalie,

The reason I was wanting to put the house under my name is because it is paid off and I wanted to rehab before I rented out and pay for it using a cash out refinance. Every bank I have gone to is really helpful except they "can't continue the refi process on a house that I don't legally own".

Would I still be able to do this?

@Steve Vaughan 

My grandma bought the house in the 80s  for around $40,000 is what she's telling me. Should I check my local tax assessor for a more accurate purchase cost? 

Hey biggerpockets family! First things first, thank you for clicking on my discussion. Any feedback is greatly appreciated! 

My grandmother has given me a single-family house to start my Realestate portfolio. I'm trying to find the best way to transfer the title into my name. What are the legal procedures needed for this? 

Again, any feedback is greatly appreciated!

@Robert Herrera  Im a big fan of Robert Kiyosaki. He along with George Clason, and John Maxwell have played a big role in my education process. "Rich dad poor dad" was how I first got introduced to passive income. I haven't read "Straight path to Realestate" yet though. I'll definitely have to go check it out.👍🏽

@Rolanda Eldridge ..... Thanks Rolanda I appreciate the support! I'm so excited with the opportunities the BiggerPockets community is allowing me to pursue.