If not, you can carry them forward until you sell.Or, you could treat all the income as income for you and treat the money that goes to your parents as a gift.

Brennen, if you receive the house as a gift, you are going to get hit for income taxes on the gift, you should talk with a accountant and or lawyer as to how to transfer this with minimum impact. also, depending if your grandfather has been treating this as rental income and depreciation, he may also have tax implications on a gift transfer.

Most likely these are departing "gifts".Since we have owned the building for two years, the natural question is "why didn't we take action sooner?"  

My son just graduated from college and as a graduation gift, my husband and I told him that we would buy a rental property and make him a partner in that deal, so now we have to finally take some action!

Bonus could be standard commission bonus, or offered as a gift card of their choice (so then they dont have to split the bonus with their brokerage).

He's quite gifted in creative finance.

Hello Everyone,My parents are getting out of the property rental business and want to gift my wife and I a house in Independence, MO.

They will also allow gift letters, where some of the down payment can come from a relative.

Just be yourself and trust that gift.

You can ask the seller to include it in the sale, or you can talk to your real estate agent about buying it as a closing gift.