So its important we figure out which income is characterized under this tax as well.WA is nice because there is no capital gains and or state income tax, however RE excise taxes are around 1.78% of the gross sales price and sales tax is about as high as LA county in CA.I prefer a non tax state but if the deal is "good enough," overall I would still consider a tax state like CA if a quick sale wasn't in the short term game plan because I wouldn't want my long term capital gains to be subject to the state income tax.

Some 2nd position loans might also hold a  have a subordination which will allow them to collect and THEN the surplus goes to the first.HOA liens are different than "regular " jr liens since their Governing documents actually allows the bid winner to get a certificate of title and move right in (until 1st position forecloses).Tax as well as HOA liens survive the fcl .

I have thought about that capital gains tax a lot.

Its a constant battle, even in Tahoe where we have a vacation rental but needed a permit to do so and collect and pay tourist tax as well.  

They have a higher capital gains tax. A

And then later she can sell it and if it was legally her primary home for at least 3 years, then she will receive all the funds tax free, and I pay no gift tax.  A

I live in California, so am I going to have to pay South Carolina income tax as well as CA?

But most people don't do double-closings here in WA due to the excise tax; a more common strategy is to just "sell" an LLC that has the property tied up.

That is only $340/month net, in a perfect world (prior to income tax). As

What sucks is we used to live there for 10 years and paid income tax as a resident, but that is a wash now.