If the property is their principle residence, and they've lived in it for at least 2 of the past 5 years... then they (and you) are exempt from capital gains for the first $250,000 in profit (or $500,000 if filing jointly as a married couple)...
That whole capital gains thing is the old rule.... more
Hi GQ: You and Stephanie seem to have provided good answers about the specific systems an inspector should look closely at. But it is not just the specific systems that matter. The qualifications the inspector brings to the job are important. It also is crucially important the the inspector know his/her limitations. For example, most inspectors are not experts at HVAC, and these inspectors should, and usually do, suggest that the furnace or boiler be looked at by a HVAC professional and cleaned at the same time. Sometimes buyers will want additions professionals to run a scope through the sewer pipes, certify the roof or look at other systems. Here in Colorado, we sometimes use structural engineers to examine foundations because we have soil problems that can create structural issues. Some engineering companies offer the regular inspections while they are examining the foundations. So different houses may require different approaches to the inspection question.
It would be the seller's responsibility to have the utilities turned on during inspection. It sounds like this home was in foreclosure and being sold by the bank. Therefore, the circumstances are different.... more
You can own as many homes as you would like to handle in your portfolio. Your means of purchasing the properties will determine how many you can purchase. If you are paying cash you are only limited by the amount you wish to allocate toward this type of endeavor. If you wish to purchase through a lender then you would need to find one which will accommodate your needs. Jo Baxter 832-205-1226 is a lender who has a program where an investor can have up to 10 homes in their loan portfolio where most I believe have a limit of 3 to 5 homes.... more