So that is good in that it reduces my expenses drastically buying and selling IN state.

I will share the benefits and advantages of this sub-sector, some obvious and some not so obvious but my main goal is to educate on the advantages of utilizing this new alternative building method because it has serious benefits in terms of supplying more affordable housing to a stagnant industry and has the means to reduce waste in ways you cannot even imagine.

Few agents will be interested in sitting down with you trying to reduce coverage on an existing policy, you need to shop, then you can go back to your agent with those options.

@bill gulleyHere is what one person told me regarding the DOS for trust/investment property -- I have't received the Garns Act myself:"technically, under the Garns Act, a transer into a trust is exempt from DOS only if the borrower is an occupant of the property"Bill, out of curiosity ,do you have an paragraph summary explaining why the current world where loans are 'sold' to banks may reduce odds of getting hit with DOS?

Couldn't you set up the deal to:- give the seller thier asking price (deferred for a couple of years);- create a percentage of the rent as a seller concession to reduce the price at time of closing; and - include a non refundable deposit (say the $15K) that you get to keep.This way you are in and out and don't have to worry about buying a house, maintaining it or worrying about whether the buyer can actually close two or three years down the road.

Funny thing is either way taxes are still paid, if depreciated it actually reduces the tax bill because we typically make more money in the future and have less deductions, so IRS actually loses under this new rule.

I suspect the focus is on the lifetime interest savings which are reduced by the fee.Bottom line?

@John Good ideas, my design has reduced suppliers and construction trades need by 2/3 but, the other 1/3 mainly out of state shipped in is up for grabs.

In both cases, each year you will reduce the amount of the unpaid gain and pay taxes on the principal portion you received, and then pay tax on the interest earned.As far as the rents, once the rents are collected by the PM, you, as owner, have received the rents, whether they have been passed on to you or not.

The maximum gain that can be excluded is reduced by the percentage of your ownership that the property was in service for a non-qualfied use.