Login
Lender Signup
Community Signup

World's Largest Mortgage Community
(28,818 members)

What are you looking for?

Quit claim

Author	Message
	Add to del.icio.us Add to YahooMyWeb Add to Simpy Add to BlinkList
susan Guest 0.10 Dollars($)	Posted: Fri Mar 07, 2008 7:54 pm    Post subject: Quit claim I live in the house I grew up i. It is ouwned by my mother. She lives in a condo. She wants to sell me the propety but is afraid of the capital gains tax. Can She quit claim deed the property to me and I take out a home equity loan to pay her for the property? What are the tax ramifiactions on me?
adonis Joined: 22 Oct 2005 Posts: 1482 Location: ALASKA 142.78 Dollars($)	Posted: Sun Mar 09, 2008 10:56 pm    Post subject: RE: quitclaim and take out equity loan - tax issues Welcome Susan, If your mother qualifies for the capital gains tax exemption, then she can avoid paying the taxes. Take a look at the exemption limit at http://www.mortgagefit.com/know-how/capitalgainstax.html#exemption . However, if your mother decides to quitclaim the property over to you, then you can take out a home equity loan if you qualify for one. But is there a mortgage currently on the home? _________________ Procrastination is the enemy of your financial sucess
larry Joined: 27 Jun 2007 Posts: 3328 473.51 Dollars($)	Posted: Mon Mar 10, 2008 1:25 pm    Post subject: Hi Susan, Welcome to the forum. Is it the primary house of your mother? If not then she cannot qualify for the capital gains tax exemption. If it is a mortgaged property then you will have take permission from the lender prior to signing the quitclaim deed. And I agree with Adonis that you can take a HELOC to pay your mother. Feel free to ask if you have any further questions. Best of luck, Larry

Quick Reply
Your Name
Subject
Message body

All times are GMT - 7 Hours

Page 1 of 1