All Forum Posts by: Nick Scalero

the problem with the 3rd property, Michael, is that I've owned it a lot of years.  I've taken lots of depreciation and it's value has gone up substantially.  I believe I'd take a big tax hit.

The wife has agreed to option 3.  If we exchange now and rent the new place out for 3 years then retire and live there, we can decide to stay if we want or sell in 2 years, take a smaller hit on recapture of depreciation and taxes and move on.

Does this sound right?  Anybody see any flaws in the plan?

I like option 3 the best.  I was hoping for a more immediate solution though.  Thanks for your answer Dave.

I'm getting close to retirement and have 3 rental homes.  The least desirable of the three and the one that rents for the least amount is paid off.  The other two still have mortgages.  Can I sell the one that's paid off and use the money from the sale to pay off the other two mortgages without taking a tax hit?  It's not exactly a 1031 exchange because I already own the other two properties but the money is still staying in my rental properties. 

Expiration may not work. As an example, I'm travelling to a Portland, OR from SF, CA and will only have a couple of days to look at properties. I hope to make 3-5 offers in that period and can't wait 48 hours between offers. All offers will have an expiration period but the clock will start for each offer within a day of each other.

Why not just include a contingency in the offer something to the effect of: "Buyer may make offers to purchase other properties. Once another offer is accepted this offer becomes void". It would seem that this would cause the seller to be diligent in their reply and would protect the buyer if they can only afford one property.

Well, at least 50 percent of them or half, whichever is greater. :D

We've done the earnest money with a promissory note for short sales.

I thought it might, in some way, make the seller think this is the only offer they would get from me and not try and counter.

I expect to be making offers in the near future on multiple properties but can only afford one property. I'm thinking I need to put a contingency in the contracts stating that the offer may be rescinded upon acceptance of one of the other offers and that any ernest monies will be returned. Is this legally permissible and how might I phrase it?

Thanks for your feedback in advance..

I'm curious. What is the purpose in buying NPNs? Is it to acquire the property? I can't imagine anyone would expect to get these to perform?