Posted by Jack-N Texas on October 07, 2000 at 24:13:54:
Hello Ed. Thanks for your input. I’d like to quiz you a little since my group is considering this vehicle for future purchases.
I understand that the Land Trust is a vehicle for the purchase of acreage, vacant land and other type properties. And I know that a bank or individual can be appointed trustee for the investment. This would be ideal on our no management required properties. But are tax consequences deferred until a property is sold? My understanding is that the LL offers high appreciation potential (on raw acreage) but no income or tax shelter benefits.This is something I need to discuss with our attorney, but any input you have would be appreciated. Thanks! —Jack
Land Contract or Lease-Option? - Posted by GO HOMES
Posted by GO HOMES on October 04, 2000 at 20:19:09:
I have an opportunity to use someone else’s money to purchase my first rental property. She wants to put her profit from selling another building back into real estate to avoid the tax penalty, but doesn’t want to manage properties anymore. She is willing to let me find the property, then purchase it herself and work out a deal to eventually sell to me. My question: what is the best way for me to take ownership of this property while creating a win-win for both of us? She buys, then I buy from her with a land contract, where she holds title until I pay down the note for a while…? Or should I lease-option from her then sublease? Any suggestions would be greatly appreciated…lots of reading, but no experience in the field yet…thanks.
Re: Land Contract or Lease-Option? - Posted by Jack-N Texas
Posted by Jack-N Texas on October 06, 2000 at 01:27:32:
Holly, I would Lease with the option to purchase on the deal myself. But if you contract for deed, be certain you record it with her paperwork at the courthouse. And, if you L/Option, you need her to sign an agreement to the affect that you can sub-let. Good luck! —Jack