Transfer of property between family members?

[char]

I am looking for some advice here. I know I need a lawyer but I am trying to have as much info before I go down this road. I potentially am going to transfer ownership from another family member a mobile home that resides on leased land into my wife and my name so that we can turn around and sell it.

We have no intention of holding onto the house or residing in it. We hopefully would be able to sell it in a very short time frame.

I believe we would use a quit claim deed to accomplish this?

What potential tax liability are we exposing ourselves to?

How do I determine if there are liens against the property? Title company or can I just call?

Anyone know someone in the Missoula area that would be reccomended for this?

[Baaahb]

Sounds like a law school exam...lots of issues there.

A title company may give you a preliminary title report free, especially if they think you will use them for the eventual transfers.

To get full price, you will need to give a buyer a warranty deed, though seeing as everyone relies on title insurance for the warranty, this may not be a big deal.

Any lawyer you approach will want to know how you determine the price you are paying the family member, or how you determine the value of it as a gift. With a gift, the donor is responsible to pay a gift tax if above a certain $$$ ($14,000?)

You pay tax on what you make from the later sale.

The lease raises other issues...is the idea to move the property, or to assign the lease as well? If it's in a trailer park, the company that manages the park may be able to walk you through the process.

[Shredhead]

Depends, but you may not need a lawyer. Mobile homes have titles not deeds. How much is it worth?

[2stix]

You don't need all the fancy work of changing titles to your name and such. All you need to do is put the home under contract (a piece of paper that says home owner will sell to you a X price if you sell in the next X days) then go out and sell it at whatever you can get for it. When it comes to close, you take the full sale price and pay out your contract to the home owner (even if it is a dollar).
A lawyer is advised to make sure it is all legit and legal in the contract and to facilitate the closing. As for title and lien searches, your local county office will have that and your lawyer should be able to do most of that for you.
Do not transfer the ownership to yourself as that means you expose yourself to all kinds of tax issues. With the contract method, all you have done is "earned" some income for the year.
The only benefit you could possibly get by putting it in your name is if you were to immediately transfer the funds from the sale into another real estate investment, but that method only defers your eventual tax and is for savvy investors with good accountants that understand that part of the tax code.
You can use a real estate agent to sell it, but it will just cost you money and wont produce any better results then if you sell it yourself.
Good luck and have fun, I look for those deals every day, and you had one handed to you.

[char]

You don't need all the fancy work of changing titles to your name and such. All you need to do is put the home under contract (a piece of paper that says home owner will sell to you a X price if you sell in the next X days) then go out and sell it at whatever you can get for it. When it comes to close, you take the full sale price and pay out your contract to the home owner (even if it is a dollar).
A lawyer is advised to make sure it is all legit and legal in the contract and to facilitate the closing. As for title and lien searches, your local county office will have that and your lawyer should be able to do most of that for you.
Do not transfer the ownership to yourself as that means you expose yourself to all kinds of tax issues. With the contract method, all you have done is "earned" some income for the year.
The only benefit you could possibly get by putting it in your name is if you were to immediately transfer the funds from the sale into another real estate investment, but that method only defers your eventual tax and is for savvy investors with good accountants that understand that part of the tax code.
You can use a real estate agent to sell it, but it will just cost you money and wont produce any better results then if you sell it yourself.
Good luck and have fun, I look for those deals every day, and you had one handed to you.

This isn't fun or a deal. It is a huge pain in my ass. The only thing I am trying to do here is protect myself from any tax liability.

[jamesp]

why does it have to be transferred into your name? Why can't it be sold (with your assistance if need be) by the family member?

[sar13]

This has been touched on above but to clarify: a mobile homes are personal property not real estate. Think of it like a car not a house. Title searches, etc don't happen with personal property.

[GeezerSteve]

This isn't fun or a deal. It is a huge pain in my ass. The only thing I am trying to do here is protect myself from any tax liability.

2stix's advice is solid -- one transfer is simpler than two.

Re the tax liability issue, talk to a CPA or other tax expert.

Yeah, mobile homes -- assuming they are still mobile -- are personal property. They might become real property under some circumstances; that's a matter of state law.

[Tye 1on]

This isn't fun or a deal. It is a huge pain in my ass. The only thing I am trying to do here is protect myself from any tax liability.

maybe call the IRS and ask them?

[BmillsSkier]

maybe call the IRS and ask them?

[GeezerSteve]

maybe call the IRS and ask them?

Transfers of personal property often invoke state tax and/or local tax issues, e.g., sales tax, excise tax. State/local fees might also be involved.

[PNWbrit]

[BmillsSkier]

Do you have a tornado nearby? These things are like magnets for them and could be an easy solution.

[freeheelwilly]

Sounds like a law school exam...lots of issues there.

A title company may give you a preliminary title report free, especially if they think you will use them for the eventual transfers.

To get full price, you will need to give a buyer a warranty deed, though seeing as everyone relies on title insurance for the warranty, this may not be a big deal.

Any lawyer you approach will want to know how you determine the price you are paying the family member, or how you determine the value of it as a gift. With a gift, the donor is responsible to pay a gift tax if above a certain $$$ ($14,000?)

You pay tax on what you make from the later sale.

The lease raises other issues...is the idea to move the property, or to assign the lease as well? If it's in a trailer park, the company that manages the park may be able to walk you through the process.

Good God you are a fucking Boob. Gift tax isn't actually paid. Any gift over 15G is deducted from the donor's unified exemption for estate tax purposes.

There aren't "deeds" to mobile homes. You're not going to order a "Title Report". Do a UCC search to check for liens. It's fucking personal property you fucking jack ass.

I absolutely fucking REFUSE to believe that you're an attorney. You're a God damned horse's ass.

[BmillsSkier]

Freeheelvegan?

[userA]

Good God you are a fucking Boob. Gift tax isn't actually paid. Any gift over 15G is deducted from the donor's unified exemption for estate tax purposes.

There aren't "deeds" to mobile homes. You're not going to order a "Title Report". Do a UCC search to check for liens. It's fucking personal property you fucking jack ass.

I absolutely fucking REFUSE to believe that you're an attorney. You're a God damned horse's ass.

a ttips casualty coming in strong!

bF

[PNWbrit]

You're a God damned horse's ass.

Is he allowed to call someone a horse's ass here?

(and pro-tip: if you want to sound that pompous you should have spelled it arse)

[2stix]

This isn't fun or a deal. It is a huge pain in my ass. The only thing I am trying to do here is protect myself from any tax liability.

Sorry, I did not know this was a problem situation. I thought you were looking at an opportunity and looking on how to best benefit it from it.

Like I had said, do not put it in your name, put it under contract, a 5 min phone call to a real estate lawyer will get you one, or you could pm me and I could advise you on it.

Not knowing why you are doing what you are doing, I can only assume the stress you are feeling. I'm really only trying to help. I have done several of these types of deals and have been able to go from contract to close in as little as 4 days, that is why I said have fun, I do because they are so easy and can be very profitable if that's what you are looking for.

Like many have said, trailers are more of a personal property type thing and a lot of people will pay cash for a decent trailer at a fair price. Honestly, you can turn over this trailer with about 3 hrs work spread over a few days. Price it right and woosh, it's gone, problem solved, and you are only taxed as regular income at the end of the year. Heck put the profit into your favorite type of savings and make some more interest on it before next years tax time.

I know you said you feel like its a pain in the ass, but trust me, somebody just gave you the opportunity to make a ton of money relative to the amount of time you need to spend on it. Your better served to look at it as a gift rather then a burden.

People like myself make a living of of these kinds of deals.

[Tye 1on]

a ttips casualty coming in strong!

bF

where the hell are the damn mods around here???!?!!?

[GeezerSteve]

He was being nice per TGR standards re a guy who spews about a warranty deed for an item of chattel.

[freeheelwilly]

He was being nice per TGR standards re a guy who spews about a warranty deed for an item of chattel.

The guy is the quintessential internet blowhard. It's fucking painful to behold. Robrox is his twin sister. Both old. Both broken down. Both mouthy. Anytime they stop speaking in worthless generalities long enough to actually say something they're just wrong.

I leave now.

[BmillsSkier]

Big Steve has a sister?

You know the rules...

[that dude who did that thing]

Ummmm, hate to tell you lions of the bar but in multiple states a mobile home placed on a permanent foundation can and often is sold as realty. Even to the point that some finance companies will issue long term mortgages on the property/improvement combination, the same way you probably bought your house.


Are you really stupid enough lawyers that you thought in 50 separate states and several other jurisdictions, no state would ever reach a different conclusion than what you were taught your first year of law school? Fucking boobs.

[XXX-er]

well IME lawyers as a personality type are the shit disturbers so their job is to take something that could have been easily reconciled without a lawyer and turn it into billable hrs

Lawyers think they know better than you and like , no they love to write a letter outlining why, which is of course why we hire them

ergo, they probably don't care if you think they are stupid

[char]

2stix- This is a highly stressful, emotionally charged thing that has been coming for awhile. Thanks for the advice.

As pointed out the mobile (more of a manufactured home) home is real property, doesn't have liens, etc.

Thanks for the advice so far.