How did your conversations with the brokers go?

One of the exemptions from triggering this clause is "(4) the granting of a leasehold interest of three years or less not containing an option to purchase" (see http://www.law.cornell.edu/uscode/text/12/1701j-3 section 3, item 4).

I don't know what would be a good reason, but there are some that exist.It is an excellent program for those that qualify and have the cash to pay the prepaid items that Lynn was refering to.

The point of the headline was to promote conversation about a trend that seems to be taking place within CA.

These types of items will definitely get you in trouble.

Earthquake insuranceMy initial thoughts are is that it's an unnecessary (perhaps) and expensive (definitely) item.

Hi all,Hope this is the right forum.Renting a small 3br 1bath house built in 1950's with floor furnace ( not working anymore )Was hoping to get some tips on low cost upgrades.I would like to upgrade certain items without a major rehab cost.replace kitchen counter tile with ?

Item 3 isn't a prohibited transaction, but it is a contribution.1 and 2 clearly are because the qualified plan (Agent John's plan, I assume) is doing a transaction that personally benefits John.

I have been on both sides of the phone for this conversation.

I'd ask each place to itemize their closing costs, as the components can vary.