Posted by jeff sprunger on January 12, 2005 at 20:39:03:
easiest way, just figure out the taxes and you take that much less, its still a great deal for you, good job…
deal Structuring Advice - Posted by Dylan
Posted by Dylan on January 11, 2005 at 20:47:41:
HI,
I have a fairly profitable deal that I need some help on structuring…
Details.
A Friend inherited a free & clear property… She’s moving out of town and wants to unload it ASAP… The property is in decent condition, but needs upgrades… It is a fully rented 2 unit property. It should appraise for 80K, she just wants 25K cash…
I don’t have 25K cash but I have an investor who is willing to purchase the property at a discount from me.
I propose selling the property to my investor for 50K (he will get 100% financing) and the owner will cover the closing cost (~4K).
I’m writing up a contract between the owner and my investor for 50K…
The owner is willing to give me the balance once she gets her 25k… (call it a great finders fee)…
How can I structure this so that the owner does not pay taxes on money that I recieve???
I’m in NY state…
Any suggestions…
Dylan