The house we managed was declared a total loss.

., whose address isPO BOX 1234 COLORADO SPRINGS, CO 80949The grantor, by an agreement dated even herewith is indebted to the beneficiary in the sum of$[RETAIL VALUE – PURCHASE PRICE] Principal and interest are to be paid in such manner and at such place as designated in said obligation.In consideration of the obligation, grantor hereby grants, mortgages and coveys unto said Public Trustee all the real property together with all appurtenances and all the estate and rights of grantor in and to such premises described as[INSERT FULL LEGAL DESCRIPTION – OBTAIN FROM O/E REPORT-USE LEGAL ON CURRENT DEED]also known by street and address as [PROPERTY ADDRESS]The grantor covenants that at the time of this Deed of Trust, he is seized of the property in fee simple, and that said property is free of encumbrances, except the existing 1st mortgage/deed of trust.If grantor satisfies the obligations secured by this Deed of Trust, pays all taxes and assessments, maintains insurance against fire and other hazards, and does not suffer or commit waste on the premises, then this Deed of Trust shall be void.It is agreed that in case of default in payment of said principal or interest or a breach of any covenant herein, then said principal sum secured hereby and interest thereon may, at the option of the beneficiary, be declared due at payable at once.

They will also analyze and review of documents;  draft of the constitution declaration; draft of the condominium regulation bylaws; submitting necessary paperwork to the Land Registry and provide the issuance of the new title for each unit.We have chose to go through this process because in the future if we decided to sell the whole complex it will be difficults vs selling each apartment which will be a lot easier to sell.

I think this may need to be declared within the trust and as you mentioned yours is irrevocable, it may no longer be an option.

If the declaration of trust permits the trustee to distribute assets in kind and there are sufficient assets in the trust such that distributions could be equalized with one sibling receiving the 4 plex and other siblings receiving other assets that may work.

Could the IRS at some level of activity (2/yr, 5/yr, 10/yr) step in and say we are actually flipping the houses and declare us dealers and be subject to short term gains and FICA?

Your state and county property taxes may be lower if you declare the property as your primary residence (homestead), but the value of your property is unchanged.  

Kind of an example of a "cart before the horse".Second, what "financial" analysis profile are you using to declare the market you speak of as "a hot market"?

You will need to know what the HOA fees are and you should also ask for the Condominium Declaration plus the minutes of the board meetings for the past year.

All contracts, options, or other devices not based upon a substantial consideration, or that are otherwise employed to permit an unlicensed person to sell, lease, or let real estate, the beneficial title to which has not, in good faith, passed to such party for a substantial consideration, are hereby declared void and ineffective in all cases, suits, or proceedings had or taken under this chapter; however, this section shall not apply to irrevocable gifts, to unconditional contracts to purchase, or to options based upon a substantial consideration actually paid and not subject to any agreements to return or right of return reserved.History.