Should I try to have him fill out a W9 and sign some sort of contract since money over $600 is being exchanged for services? 

Hello everyone,
I am pretty new to real estate. I know for a lot of investors it is common to want to hold onto a door for a couple of years then 1031 to a more expensive property to grow their portfolio.
Me being s...

I understand that how you structure your business could benefit from tax strategy, but how many ways can you buy or sell a property to avoid capitol gains, etc, unless you're doing a 1031 exchange?

The reasoning, as I remember, was some combination of 1031 exchange, increasing ROE, and leverage.Does anyone have a good resource or explanation summarizing the logic?

My plan was to put down 35% while she would cover the remaining 65%.However, the seller has requested to be in escrow for 45-60 days so that he can complete a 1031 exchange and use the proceeds to buy another house within that period.

But I could also 1031 exchange it later, if I choose to sell after that time.

If you can capitalize on those early returns and recycle into another property with similar early trajectory, you will end with much more money over the same period of time.Of course, being able to harvest those gains and recycle in a tax deferred manner helps even more, so you may want to seek out syndicators that are able to offer 1031 exchanges on exit, which is definitely possible.

I would also say that markets like Manhattan are not super representative of most markets in the US - a lot of foreign investment I'd imagine in NYC, Miami etc - I'd guess a lot of these cash purchases are more about exchanging unstable or risky foreign assets/currencies for perceived stability/safety of US top metro residential real estateI think in a lot of other markets where this isn't relevant - I think most are cash offers being "king" as not having appraisal or other contingencies that might sabotage the sale after 30 days or so and make people re-list (sellers will take less to avoid this risk and downside)

This will correct over time as more get burned, but until then, spend responsibly. 2) Do not listen to any advice recommending that you enter into a THIRTY YEAR agreement with a bank where you pay them a monthly payment in exchange for primary residence shelter where the only way you can meet the obligations for such a contract over the lifetime of such contract is that you househack, renting out your bedrooms to likely...strangers...until you are dang near Medicare eligible.

Banks and credit unions can also offer flexibility for investors that engage in strong relationship-building strategies, offering discounts and solid loans in exchange for borrowers willing to use the institution for other purposes (savings accounts, etc.).