There are income taxes that are due under federal law.

Another downside is you loose on the advantages, of the Federal Tax Code, by not closing in the name of a LLC.

He has to have this information to file his Federal taxes, so if he is trying to avoid sending it, he is definitely covering something up.

The auctions are only on the first tuesday of the month even if its a federal holiday.You door knock as soon as you can.

You may also have to file amended state income tax returns as well if your state requires an amended state return whenever an amended federal return is filed.

@Reece O'Bryan1) There is a federally mandated minimum interest rate (~2.4% maybe, can't quite remember) so it'll start there and go up ... where I am, people are pretty focused on 8-10, which can be steep.2) you're looking at ~$40k purchase with 5k down and $35k loan at 8% for 30 years for a $250 mortgage payment (plus taxes/insurance of course)3) wholesalers want to get paid up front, so it's not too likely that they'll give you a deal straight out, but what you might do is ask them for the deals they passed on ... deals that they didn't like for whatever reason, and then pay them a birddog fee if you buy it ($500-$1000)

Hey Patrick - this is purely opinion but I would wager that the HB2 will be at a minimum altered due to pressure not only from the public but other states & federal government and business executives.

The only thing that comes close to that is the 39.6% on short term gains.The last time I checked, long term cap gains were as follows for 2016: Income Thresholds: individuals in the 10% and 15% tax brackets will pay 0% on eligible dividends and most capital gains.Qualified Dividends: income received will be taxed at the same rate as long-term capital gains.Tax Rate: individuals in the 25%, 33%, and 35% federal income tax brackets will pay 15% on capital gains, while taxpayers in the 39.6% bracket will pay 20%.You could potentially suggest seller financing which would spread his gain across a number of years: https://www.irs.gov/publications/p537/ar02.htm (but then you'd have to negotiate with him on the actual interest %).Plus, lowering the price would REDUCE his capital gains so minimally, he seems to be conflating 2 totally unrelated items (or the poor guy is really confused!).

Federal Capital Gains will most likely be 15% but could run 20% on your profit. 

As part of the loan process, you will be asked to state  (on a federal form) that your intent is to move into the home.