This is the second part of the examination of low comps that go under-reported, leaving future buyers and agents to wonder what happened. Tread very carefully, with little or no information about the details of lower sales, the future buyers are likely to want further discounts, or bow out altogether – they aren’t going to ignore them, are they?
I bet the IRS would like to know the difference too.
Sell homes to family members cheap, thus the parnership earns less money and pays less in taxes. this project would be considered a “dealer” thus no capital gains tax, but rather ordinary income rates.
When you sell to family cheap, they hold for 2 years, then resell at market prices (hopefully an improving market), and convert those ordinary income taxes into $500k of tax free income (primary residence exclusion) and capital gains on the balance.
My experience has been that when people are playing games behind the scenes, they are going to try to cut corners and give you the short end of the stick on your deal too. Try getting customer service from a one off partnership 4 years down the road.
Perhaps not, but a bright red warning flag IMHO.
Thanks for the video. I have always been wanting to know what happened to this Magnolia homes.
You are in my new backyard. You should have stopped over for a beer.
Waiting – We’re in Bressi too. I’ll stop over for a beer with JTR…
Looks like a lot of the readers here live in Bressi!
I just moved to Bressi a few weeks ago from San Elijo Hills. We like it. It is still cheaper for me to lease than buy there.
Waiting – we sold 2 years ago, and have been renting in Bressi ever since….just waiting out the market, and swimming at the pool.
clearfund – Good timing on your sale. I moved to SD in 2005 so it was already too inflated. I was not going near it. I need to check out the pool. I have not seen it yet but everyone brings it up when I tell them I live in B.R.