You could buy emoticons for money (real money) and sell, trade, gift or keep them.

This keeps it from appearing to be a "gift" in the eyes of the IRS.

I guess your original post was unclear and I assumed the tenants were not paying or hostile towards the previous owner.If they pay, I would handle it very differently.Why don't you give a $50 - $100 gift card to every tenant who signs a lease within the next 10 days?

For this property, all the financing I am finding is requiring 25% down, and will not allow "gifting" of funds to help cover a down payment, like if I get a personal loan from a family member.

What are the implications of gifting property to family or using trusts ?

That's the hard legal line, but as far as keeping a tenant happy (especially a good one) there's something to be said for a gift card to a restaurant to smooth things over. 

. :) I can't say this will fix the issue of him forgetting, but I'll take it as a gift.

Thanks in advance.John Cassel I am not a tax professional, but my general understanding is that if you put the funds back in the account within 60 days they don't penalize you.No, you cannot use "gift funds" for the down payment on an investment property if using Fannie/Freddie financing.

- Will the exchange of on deed be considered a gift, which either my parents or I would be required to pay taxes on said gift value?

I went and purchase a $25 gift card from a nearby grocery store for each tenant.