All Forum Posts by: Samantha A.

@Tim Swierczek Thanks for the response and the introduction!

@John Woodrich Nice to meet you! I’ll have to talk to Ryan’s parents’ CPA about the gift tax return, and see if anything can be done now. 

Thank you all for your insight! This has been a big, complicated tax mess we’ve had to deal with. A lot of lessons learned in retrospect. 

@Ashish Acharya - Thanks for your response. We’ve talked to several CPAs about this and they’ve all been pretty baffled, as well, as to whether we’d have to pay the gains or not. Especially because before Ryan was solely gifted the property this year, back in 2017, Ryan’s parents quitclaimed the deed into the family trust which includes Ryan’s name. We thought maybe that would satisfy the two year requirement, but have ultimately been told probably not. We’re still looking for a great CPA to run this all by come tax time, but have resigned to likely have to pay the cap gains. 

Looking for advice… my husband & I having been living in his parent’s investment property in California since they purchased the home in 2013 for Ryan. Ryan & I have paid “rent” every month to his parents. His parents however do not, nor ever, have claimed a “gain “or income from the property - as the total "rent" we pay each month goes toward satisfying the mortgage and tax requirements and are the ones solely responsible for the home and its upkeep.

This past January Ryan’s parents officially “gifted” the property to Ryan, quitclaiming the title in his name only, removing their names from the deed. His parents still technically hold the note though.

Since January, Ryan & I have been remodeling the home and are looking to put it on the market next month for sale. We understand there is a capital gains hit we will take, both federal and state (as the property is in California), but are not sure how this will effect our taxes or his parents, or both.

We are also concerned we may have overlooked other issues that could effect our use of maximizing the proceeds from the sale of the home. Ryan’s parents are not looking to take any of the monies from the sale and it is their intention for us to keep all proceeds to use toward our first real-estate investing pursuits. Obviously we are very grateful for his parents trust in us and the gift they’ve given us two lowly musicians to start our new investing careers :-)

Once the home is sold, we will be moving to Minnesota where Ryan’s family is from and are looking to do flips and acquire some rentals.

So...other than capital gains taxes, are there any others issues we should be aware of?

Thank you kindly,

Sammy

Thanks Stanley, will do! I appreciate your opinion

Thanks Wayne - one would think any title co could or would, but I had the title company who pulled the title originally state they can't confirm anything, as they wouldn't' want to open themselves up to litigation if it turned out my fiance was indeed NOT on the title. Something about since he's only a Trustee, and not the actual Trust holder, that there seems to be the confusion. I've heard AFX Research might be a good Title Co to try https://www.afxllc.com but we're still searching till we get a few more referrals. Thanks again

Hi all! Can someone recommend someone to look at the title / deed for my fiancé Ryan & I’s property in Los Angeles? We can’t figure out exactly if he is indeed on title of the property he owns with his parents or not, whom live out-of-state. He filed a quitclaim last year to add his parents family trust (with Ryan as trustee) to the property title, but it it is still unclear as to whether he really is on the title or not. We’re hoping to find someone who can decipher what’s what…

Is this a matter a Title rep is supposed to figure out, or a CPA maybe? I’ve also been told I may need a lawyer to figure it out. Not sure what approach to use to move forward. Any help is appreciated. Thanks

Thanks Dmitriy! Feeling inspired by all the help :-)

Thanks Andrew

Hi Adam! That’s awesome you’ve found success investing in La Crosse! I’m not planning any trips there for the next few months, but I’d love to chat with you about the area. Thank you for the offer! I’ll send you a message soon.

Thank you George!