New to the forum but it looks like there’s a lot of knowledge here, so I thought I’d pose a question -
I bought a house with my dad but we had to do it all under his name for loan purposes.
Can he Quit Claim it to me prior to 12/31/12 to transfer ownership to me, so I can claim expenses for it on my 2012 taxes?
Any suggestions or ideas on how to do this would be appreciated!
You don't say what state your in? With a loan on the property you don't want to quit claim it to you as there is a "Due on Sale Clause", however in most states your dad can add your name to the deed and can then allocate 99% of the tax benefits of the property to you for use on your state and federal taxes.
Become tenants in common and his / your heirs can receive your / his share of the property in the event of an unforseen death for estate planning.
Talk to an accountant or tax adviser in your state about options for dispersing tax benefits.
But great advice. I’ll definitely want to avoid the Due on Sale clause requirement to pay the total loan.
I actually put in the down and have been making the payments Now to find a good accountant.
But what are my chances of getting this done by year end?? Cause I would need to for tax purposes.
My realtor says he transfers his investment properties with commercial loans into his LLCs and the bank hasn’t called his loans as DOS. He thinks they don’t know, or don’t care because he pays the mortgage and owns the LLC.
Is this question of DOS dependent on the wording of each mortgage or state laws or something else?
Transfering a property from personal ownership to an LLC you own is "Same Ownership"!
In the original posting PBZ stated he wanted his dad to “Quit Claim” the property to him which outright changes the ownership of the property from one party to another. (Past Owner to New Owner) Which will trigger a “Due on Sale Clause”!