4 Plex Owner Transfer to Sons

4 Replies

Hello  fellow BP'ers!

Hope all is well with everyone! Our family has a four-plex that my dad is looking to give my brother and I to manage and own; so he can focus on getting promoted and maximizing his pension. My brother and I are rather new to real estate investing and this will be our first property. I am excited, but very nervous. I know my dad will be our main support during this entire process, but I would like to hear your guys' advice! 

Were you ever in this position? If so, how was your experience?

What are something things my brother and I should be careful of in starting out this way?

Any other advice or tips would be greatly appreciated :)

Originally posted by @Garrett Vita :

Hello  fellow BP'ers!

Hope all is well with everyone! Our family has a four-plex that my dad is looking to give my brother and I to manage and own; so he can focus on getting promoted and maximizing his pension. My brother and I are rather new to real estate investing and this will be our first property. I am excited, but very nervous. I know my dad will be our main support during this entire process, but I would like to hear your guys' advice! 

Were you ever in this position? If so, how was your experience?

What are something things my brother and I should be careful of in starting out this way?

Any other advice or tips would be greatly appreciated :)

 Sounds like a great opportunity for all three of you. Have your dad talk to his CPA about tax implications and estate planning so that it is done properly.

You could also form a trust where all three of you are trustees. You and your brother can start running it immediately and you will not lose the step up basis on the capital gains, and when your father passes (hopefully many years from now) he leaves his ownership to you and your brother within the trust.