Wake n Bake, Nothing Better!

manfredo

manfredo

Well-Known Member
tyler.durden said:
So you didn't get all cash when you sold the student rentals, and instead you're acting as the bank?
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Correct. I owned the places for a very long time, and I would have got hit with about $60,000 in Capitol Gains taxes if I took a lump sum, which he originally offered, so to avoid that I owner financed, which is a little scary, but the guy gave me 100k as a down payment, and I have a clause in the mortgage called "assignment of rents" if he doesn't pay. I'm holding the mortgage for 3 years, during which I'll make an additional 25k on interest, and then he will have a large balloon payment at the end of the 3 years. So basically spreading the money out of a 4 year period to reduce my taxes and maximize my income.

Plus the buyer is a billionaire investor so I feel a little better. Pretty sure he is banking on prices going up dramatically around here, and he's probably right!!
 
BudmanTX

BudmanTX

Well-Known Member
Morning crazy people......how's everyone doing

woke up this morning to a muggy 76F......looks like we got rain coming starting tonight and lasting through to Saturday......high today 93F

Coffee is up and ready to rock

After Meta's little taco adventure last night....this morning...oh yes...taco's.......bacon and egg anyone.....and a little of the fancy green sauce to spicing up your day......
 
Laughing Grass

Laughing Grass

Well-Known Member
manfredo said:
Correct. I owned the places for a very long time, and I would have got hit with about $60,000 in Capitol Gains taxes if I took a lump sum, which he originally offered, so to avoid that I owner financed, which is a little scary, but the guy gave me 100k as a down payment, and I have a clause in the mortgage called "assignment of rents" if he doesn't pay. I'm holding the mortgage for 3 years, during which I'll make an additional 25k on interest, and then he will have a large balloon payment at the end of the 3 years. So basically spreading the money out of a 4 year period to reduce my taxes and maximize my income.

Plus the buyer is a billionaire investor so I feel a little better. Pretty sure he is banking on prices going up dramatically around here, and he's probably right!!
Click to expand...
The Manfredo Bank of NY
 
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