Seller Finance Transfer of Note
Hey all,
My brother in law had a home seller financed. He offered the note to his father (my father in law), for sale and Dad bought it. I take care of issuing 1098s for these few properties. I assume I issue one 1098 for original note holder that covers the time he owned it until sale and then another to father in law that covers his time of ownership to present.
I didn't realize they hadn't finalized any paperwork covering the sale. Basically, brother in law (original note holder) took money offered and ran. We collect the note payment and transfer it minus escrow and we were just told to start paying father in law from a certain date forward. What paperwork needs to be filed here to cover transfer of note?
Thank you!
(questions also asked to accountants, but you know, more knowledge is good!)