All Forum Posts by: Jason Baker

Thanks for your response Andy, I really appreciate the input. I realize the geographic challenge associated with living in Florida and being a landlord in California. I plan holding this property and using a property management company. Even though it's in California, it's not worth what you think,  it will serve me better as a rental. I know the property well, it has been in my family for decades and we remodeled it 2-3 years ago, the maintenance costs will be low for a while. I'd rather borrow against it to buy other properties here in Florida. I have a large family in California so I will have "boots on the ground" for any major issues that may arise. I'm really just trying to figure out the best way to hold the property that will benefit my future investing ventures.

Outstanding! You guys are awesome ;o) I will make a post on how this all turns out when the dust settles. Thank you so much for your time and responding to my post.

Thanks Paul, I'm flying to California Saturday to get this hashed out. I really appreciate your time and your response. I will post my experience here on BP when everything is complete. I'm really excited! I love new experiences and learning about things that are completely unknown to me. This will be a valuable experience for my future as a REI.

Thanks Bob, I really appreciate your time and response. I am definitely planning on consulting an attorney as well as a CPA in both states. I have a consult scheduled with a CPA here in Florida this week. I prefer to not have any ties to California, such as a LLC, but there may not be a way around this since the property is there. I lived in California for most of my life and it's hard to sever the ties of taxation there. If I didn't know the property so well, I may not even go down this road but it's such a good little rental & it was recently remodeled so I know it won't need any major repairs for a while.

And yes, definitely planning on consulting an attorney and a CPA for this matter. I believe everything is in a trust already. I was planning on transferring it to a land trust or forming a LLC to hold the property. That's a whole other topic...

Thanks Frank, I really appreciate your time and detailed response. I did some more research online & there will need to be an appraisal to determine current value. She will exceed the $14k annual gift allowance so Form 709 will need to be filed with her 2017 tax return and the appraised value will be deducted from the $5 million lifetime allowable gift amount. I will be subject to capital gains tax if/when I sell the property. I plan on keeping the property and using it to leverage other investments.

I am a new investor in Florida. My mother has a rental in California that she wants to give to me. What is the best way to handle this transaction? Do I need to form a LLC? Is a Land Trust better? Should I do both?

Greetings! My wife & I are new investors in South Florida, Martin County, we've been attending some local REI meetups here in our area & enjoying meeting many good people. We want to get in the game but want to do it right to avoid costly mistakes. My first question is which type of corporation should I form? We plan on buy & hold, wholesaling, and fix & flip. I am being gifted a rental house in California from my mother to help us on our new endeavor. The house is paid for, has the main house, 2/1, in front with a mother-in-law unit, 1/1, in back so two separate rentals that generate income. I want to hold this property as it brings in around $1300 monthly before any expenses. What is the best way to transfer ownership with the least amount of pain for my mom and for us as well. I believe this is a good opportunity to launch our careers investing so I don't want to mess it up. Should I form a land trust? LLC? What is the best and most advantageous path here? Thank you in advance for your time.