On the similar lines can we sell it to spouse for realizing the tax loss without losing the property by sale? E,g, If we are joint owner right now and then she become a sole owner as buyer (assuming 20% down and she qualifies for financing).... more
Your wife would not qualify for the credit because no family sales qualify. Also, if you are behind on your mortgage, or you are in foreclosure, she cannot take over the loan because that would be considered a foreclosure bail-out. There is no way that you can get around this because I am sure that some document of hers has the address on it, so you would not even want to try to do something as fraudulent as cheating the system like this. If you can't refinance because you don't show enough income, and you need her income to qualify, she can be a co-borrower on the loan with you.... more
Yes, you can. It is an easy process. There are some additional questions I would have but it is typically a tad easier that a purchase from someone outside ytour family. Call me at 610-291-1460 and I can walk you through the steps.
In PA the terms of the lease continue when ownership transfers. So if the tenant has 6 months left before their lease is up, a new landlord cannot come in and change those terms without the consent of the tenant. If the tenant is on a month to month arrangement there is a lot more flexibility to do what needs to be done. Will the house show better with or without them? Many investors would prefer to purchase a property with a good tenant already in place but if there is a history of late payments or the home looks like a pack rats den it could be a hard sell.
Talk to your tenant ahead of any action so they have no fear of what is happening. After all, it is your rental property but it's their home.... more