Home Selling in 32812>Question Details

Holly, Home Buyer in 32118

My father bought my house for me with cash to tip a short sale bidding war in our favor.What is the easiest way for us to obtain that house from him?

Asked by Holly, 32118 Sun Oct 3, 2010

We're looking for anything that doesn't involve $1000's in closing costs. Is a quit claim possible if it is arranged after closing? Or can he just "sell us" the house with low closing costs. Gifting isn't an option I assume due to the hight gift tax.

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The easiest way to do it is to ask the title company to put you in the deed along with your father BEFORE closing to avoid additional expenses. If he were to add you after, via a quit claim deed, you or him would have to pay doc stamps on the deed at the rate of 70 cents for every $100.

Also, if your father happens to own a house already he can't claim this one as homestead but you can. In that case you will be entitled to only 50% of the homestead exemption. Talk to a real estate lawyer or title company to verify this information.

After you are in the deed, you can then get a mortgage in your name to pay back your father. I can help you with the mortgage. Call or email me for a free consultation.

Jose Morales
Rescom Mortgage & Finance
561-432-9237
1 vote Thank Flag Link Sun Oct 3, 2010
Dear Holly, I think all the various previous answers demonstrate that it would have been good to check all this out before the sale was consummated as there are many different possible ways to address the problem and achieve the same goal. I've seen so much family strife as a result of financial matters in my own circle of family and friends! Anyone that needs help from family should consult with their tax accountant, a mortgage broker and a real estate attorney before the transaction. Most attorneys usually have a half hour free consultation by phone or in person to get some good advice. Best, Terry Bell, Realtor, Santa Rosa, CA
0 votes Thank Flag Link Sun Oct 3, 2010
This is a very simple process..just have him do a quit claim deed.. The financial arrangements(if any) need NOT be a part of this process. Just have a realestate attorney help you ..Costs should NOT be any more than a few hundred dollars...
Web Reference: Http://www.asasplaces.com
0 votes Thank Flag Link Sun Oct 3, 2010
Hi Holly,

It was extremely lucky for you that your father was able to help you quickly purchase your house! Now that he owns the house outright, that gives you many terrific options to save on closing costs that are not available to someone to needed to purchase the short sale using standard financing in the first place.

There are several options for you depending upon your specific needs. Besides being a realtor, my wife and I own a mortgage brokerage. If you would like to call me (239-206-4500) or email me (contact@FHLmail.com) I would be happy to discuss with you all your possible solutions. All of them will cost you very little or very likely there will be no money out of pocket!

I think you will be very pleased by options that we can present to you!

Take Care,

Andrew & Elena Ollick
Amerivest Realty
Faith Home Loans
239-206-4500
contact@FHLmail.com
0 votes Thank Flag Link Sun Oct 3, 2010
That's very simple. Any real estate attorney can help.

As the others note, if he hasn't closed on the house yet, your name can simply be added to the deed. However, in that case, he'll still be a co-owner of the house.

After closing, it's still no problem for him to sell the house to you. Or to deed it to you--basically just sign it over to you. Again, make sure an attorney is involved so that all the paperwork is correct.

Finally, your father should check with an accountant to make sure that there aren't any negative tax implications for him. There are various rules on how much one person can give another as a gift before it becomes a taxable event--as you note in your own question. But there are ways to spread out the gift.

Another possibility is using a land trust. See http://www.landtrust.net.

So--yes, there are easy ways to do it. But check with a lawyer and an accountant to make sure it's done properly.

Hope that helps.
0 votes Thank Flag Link Sun Oct 3, 2010
Don Tepper, Real Estate Pro in Burke, VA
MVP'08
Contact
Holly,
It is easy. Contact an atty. that deals in Real Estate and do a Quit Claim Deed.

Debbie and Ron Albert
Coldwell Banker Residential
Web Reference: http://www.ronanddebbie.net
0 votes Thank Flag Link Sun Oct 3, 2010
If you're getting a mortgage you will need to pay for an appraisal, title insurance, documents on the deed. If yo'ure paying all cash to your Dad that may be different.
0 votes Thank Flag Link Sun Oct 3, 2010
Its very side ways and straightforward just login to the link below on page 2 are the specifics - Good Luck!
Web Reference: http://activerain.com/mmk
0 votes Thank Flag Link Sun Oct 3, 2010
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