Want to start Spec Build before closing??
I have a lot under contract that the seller can not sell until July 10. Seller bought the lot last summer before things picked up, and now realizes he can make a small gain by selling on long term capital gains. He currently has no mortgage on the property. Is there a legal way to structure this so that all three parties (buyer, seller, and lender) all are safe? I would like to start the build asap. Thanks.
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Bryan A. - I assume the seller does not want to sell until July 10 so as to keep things as long term capital gains, as opposed to the seller can't sell because of some deed restriction (or redemption period); is that correct?
If so, then you also have to be certain that whatever approach is taken does not fall under "disguised sales" to the IRS. I think this is where it may get difficult.