I know the LLC mechanics, but tax is still a bit above my head.]Hey @John Woodrich - from tax perspective, do you have an opinion one way or the other if @Jon Loca did the following:Dad deeds property over to LLC, for "consideration less than $500" to avoid hefty deed tax when recording.Dad invites his partner-son to become a small part-owner of the operation of the business that is this rental property by buying into the LLC for "services to be performed"Lender like @Tim Swierczek helps get the property refi'd under the LLC, with cash distributed pro rata to the owners -- does that get ordinary income, or capital gains treatment?

That's your ordinary income rate, though capped at 25% (I think, might have changed under the new law.) 

A further internet search reveals an online complaint about someone with the same name, also from Utah, who is reportedly associated with other real estate companies that someone is claiming ripped them off: https://www.ripoffreport.com/reports/property-23-nate-heaps/american-fork-utah-84003/property-23-nate-heaps-green-clover-properties-retiree-ripped-off-of-retirement-savings-a-828667. 

Providing you can have loans secured on your property up to 75% of its value,  I think the correct  calculation is (230*0.75) - 42 : Which gives you 130k yes, you're right, thanks We recently set a HELOC with American Heritage credit union with a fixed rate of 3.99%, 3 years draw period and 10 years Amortization period .

It will be taxed at ordinary rates unless any of the owners qualify for the brand new 20% pass through rates which are rather complex. 

The location is just off post and the layout of the home caters to the American family, as the layout is very open and spacious. 

> After all the deduction, the net gain (let's say 30k from flip ) passes through and gets added to your W2 ordinary income (if any) and taxed accordingly with new 2018 tax rates.For e.g.

It's ordinary income taxed at your marginal rate.Do I count the purchase as a business expense for 2017?

Especially Americans are so focused on work that it's easy to forget to enjoy life along the way.

But I can't ever get out of my head the many lovely episodes of American Greed.