Announcement

Collapse
No announcement yet.

Contract for Deed - FTHB

Collapse
X
Collapse
 
  • Page of 1
  • Filter
  • Time
  • Show
Clear All
new posts
Previous template Next
    #1

    Contract for Deed - FTHB

    Have client that is selling mobile home and land to a family that is first time home buyer. It will be sold to them on a contract for deed where they are making payments to current owner until paid off, at which time the deed will be issued. There will be no HUD statement. An attorney is handling the sale documents. Will this suffice for the credit or does there need to be some other type of documents. She doesn't want to do anything to cause the buyers not to get the credit.

    Thanks,
    LT
    Last edited by thomtax; 04-07-2010, 11:18 AM. Reason: clarify
    Only in government or politics is a "cut in spending" really an increase. It's just not as much of an increase as they wanted it to be, therefore a "cut".
    Tags: None
    #2
    The fact they are related may disqualify the entire thing anyway.

    Whats the relationship between the buyer and seller?

    Also, its 1st time home buyer, not land buyer... how much of the sale would be for the mobile home and how much towards the land? The land could be alot of were the value is depending on the age of the house.

    Chris

    Comment

      #3
      Originally posted by thomtax View Post
      Have client that is selling mobile home and land to family that is first time home buyer. ..........

      LT
      Was house sold to "A" family, or to seller's own family members?
      ChEAr$,
      Harlan Lunsford, EA n LA

      Comment

        #4
        Clarification

        They are not related and I did not mean to imply that they were. I have gone back and added the word "a" in front of the word family to hopefully clarify. My concern is with the proper format of sales papers.

        LT
        Only in government or politics is a "cut in spending" really an increase. It's just not as much of an increase as they wanted it to be, therefore a "cut".

        Comment

          #5
          Originally posted by thomtax View Post
          They are not related and I did not mean to imply that they were. I have gone back and added the word "a" in front of the word family to hopefully clarify. My concern is with the proper format of sales papers.

          LT
          Then the only problem will be all the documentation that IRS will require of the buyers.
          And that's a lot!
          ChEAr$,
          Harlan Lunsford, EA n LA

          Comment

            #6
            Originally posted by ChEAr$ View Post
            Then the only problem will be all the documentation that IRS will require of the buyers.
            And that's a lot!
            I've looked at a document on TaxAlmanac referencing documentation, that was released by IRS in January. Do you have a good link for further on documentation?

            Also, the mobile home is permanently mounted on the lot. The lot is not a lot in a mh park, but is just a regular home lot. The lot and mobile home are being sold together.

            LT
            Only in government or politics is a "cut in spending" really an increase. It's just not as much of an increase as they wanted it to be, therefore a "cut".

            Comment

              #7
              Originally posted by thomtax View Post
              link for further on documentation
              404 | Internal Revenue Service
              http://www.irs.gov/pub/irs-pdf/f886hfth.pdf
              404

              Try this one.

              Comment

                #8
                I had one similar in February. We sent a copy of the contract, a copy of home insurance bill, cancelled checks for the December and January payments, copy of the amortization schedule and he received a check in about 5 weeks. I think the more you send the better off you are.
                http://www.viagrabelgiquefr.com/

                Comment

                Previous template Next

                Disclaimer

                Collapse

                This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

                Working...
                X