All Forum Posts by: Lance Friesz

@Dave Foster the value of our rental is less then the ADU, so we are good there. Our idea was to help with the down payment but unfortunately it would not take care of all the money needed.

We also just got word from our lender then they cannot lend if we are doing a 1031. They know we will be renting the ADU out. Any experience where a lender has that restriction?

@Jason Hsiao sorry that I didn’t clarify. Both properties are on the same APN. I meant that they are separate standalone structures

@Dave Foster Thank you for the response!

It sounds like we need to get and appraiser to value the ADU separately.

Unfortunately the other options won’t work for us, but hopefully it helps others that read this!!

I am hoping to get some help on a situation we are looking at and would appreciate any input! I also understand that this is not tax advice and I’ll will be working with a CPA.

My wife and I are looking at purchasing a new primary residence that has a separate home/ADU on it. We have a current rental property in the same state that we would like to sell. It has been a rental for more the 5ry's and understand that we would have to pay capital gains on the sale. We are hoping that we could do a 1031 by selling the current rental and rolling the proceeds into the down payment on the new primary home with the ADU. The sale proceeds would be 20%-30% of the down payment

I am not sure on how to think about the loan or the specifics on a 1031 as I know specific timelines need to be met.

I am sure there is more detail that you might need, but thinking this could be a good start.

Thanks in advance!

This could be an extremely novice question, but my wife an I are living in the Bay Area and looking to buy a home. Both of us have wanted to invest in Multi-Family unites and thought this might be a great time to invest, especially if we can live in one of the unites. 

This is where my questions is, would we be able to purchase a 5+ unit property on a commercial loan and live on the property? I am not sure if this is enough info, but it is my first question on there!