All Forum Posts by: Jean Norton

I was the high bid on a tax deed in a condo-hotel in Florida. I'm not really sure how that happened since there is a significant lien both from the condo association and the mortgage company. Both liens disappear since I acquired the property via tax deed auction.

I know I must perform a quiet action to get clear title so here's where I need some clarificatification:

1. Why the other lien holders didn't buy the tax lien is are real puzzler to me.

2. I want to move forward with a good relationship with the owner's association, but I will not pay the back association fees.

3. There's got to be some surprise waiting for me that I just haven't thought of yet.

Can anyone with experience in purchasing condo tax deeds in Florida shed a light on what I am to expect?

Jean Norton

Loans are tough right now - even though we have short of $1m in clear assets, our income is unverifiable. I've been unemployed since January and the income from the duplexes won't show up until we file our tax 2009 tax return.

I've considered hard money on one of the properties - but sometimes it just seems cleaner to sell one.

From what I have heard, the newly acquired property is the better one to sell from a tax perspective.

Do you know anyone wanting an income producing duplex in Austin (a city with projected growth of 25% over the next decade, near a community college, considered the "north central of Austin", the "musical capital of the world")?

Actually our goal is two-fold:

1. to get cash to pay upcoming property taxes (OK, poor planning).
2. to fund a new entity to rehab properties

My husband, a sole proprietor, has owned a few duplexes for years. He's been able to handle these properties with minimal management - but his father died and left him more properties - now he needs to get serious about this business. (Business skills are not his forte.) I have a business background and had success rehabbing in California with another partner (http://lowtech-ventures.blogspot.com).

He has agreed to partner with me to form an entity with the infusion of cash from that sale and rehab houses, and sell or rent them. This includes bringing in the remaining residential properties and managing them with a business focus and structured rules and procedures (so property taxes are in escrow).

Given this reason and your suggestions:

1. Chris - Can you leverage a 1031 exchange where the funds go into the new LLC?

2. Bill - Is there a creative way where we can seller finance to another company (one of my companies), then sell the note to get the cash infusion? This is ideal as I really don't want to sell an income producing property.

Thanks Guys!

Same street, same floor plan, no liens - one recently inherited, the other owned for 25 years (fully depreciated). From a tax perspective, which duplex should we sell?