All Forum Posts by: Mary Ann Hall

Thank you!

There was an appraisal done on the property when we got a loan to buy the siblings out. We are selling it for $15,000 under appraisal and contributing to the nephew's closing costs.

Thanks, we are selling it to our nephew for less than market value, so I'm assuming we will have a capital loss in the end. If we were to sell it for market value we would have to live with the family conjecture that we made piles of money off of the nephew or we stole it from the other siblings. We are just trying not to get stuck paying capital gains, keep the property in the family and handle everything as close to a "fair" outcome as possible.

My mother-in-law passed away in December leaving her home to her four children. To help reduce the family drama my husband and I bought his three sibling's shares in March. We are making repairs so that a nephew can qualify for an FHA loan. Since he was one who inherited the property, we are confused as to whether he will owe no capital gains tax because he inherited, will he owe tax on 75% of the proceeds. My husband has given up trying to get a human at the IRS to provide guidance.

Thanks!! 

Mary Ann