Lake Norman Real Estate: Investors/Investment Properties - 1031 Tax Exchange - Exchange of Tax Liability

1031 Tax Exchange

Here are the basics of the 1031 Tax Exchange
- Allows repositioning of assets without penalty of capital gains tax
- Timing is everything, buyers must sell, identify new property, and close within strict guidelines
- Handled by title company with buyer and seller in agreement
- Only "like-kind" investment properties, principal residences do not apply
- Seller must identify replacement property within 45 days
- 180 days given to close on new property
- Title company facilitates the exchange

For more information on the 1031 tax exchange, click here.

Investment Properties 203K FHA Acquisitions and Rehab Loans

- Loan amount is on project improved value with 10% down
- Buyers can have 4 loans on properties at the same time
- Consultant investigates plans
- Buyer MUST use professional contractor
- Buyer can finance payments for 6 months if uninhabitible

Using FHA loan to purchase a HUD property
- Must be insurable - meets FHA minimum property standards with no repairs (MPS)
- Must be insurable with conditions (IC) - conditions must be satisfied
- Must be insurable with repair escrow (IE) - requires no more than 5K in repairs. Funds can be financed up to 110% of cost to repair estimate
- Uninsurable (UI) - Property only eligible for 203K financing

See also:
Lake Norman Investors: Places to search
Why do I need an agent to purchase a home?
First time homebuyer Renovation Loan

Contact your Lake Norman Real Estate Expert for more information on this post.

Jeremy Adair
Real Living - Davidson, NC
Cell: 704.315.8106
Fax: 704.892.9766
Jeremy.Adair@RealLiving.com

Lake Norman Real Estate: Attention Lake Norman and Charlotte Area First Time Homebuyers, This Loan is FANTASTIC!

First Time Homebuyer Renovation Loan!

Are you a first time home buyer or trying to help a family member buy a home? I have good news for you. I have partnered with a great friend to me and my clients and a terrific mortgage professional on a new program based around a loan called 203(k)!

Welcome to the world of Renovation Loans.
There are only a couple of companies offering these loans in the Charlotte and Lake Norman area. Your Lake Norman and Charlotte area agent and Sherry Bradley with Fidelity & Trust are happy and proud to offer this to our clients. A 203(k) is FHA(s) rehabilitation Mortgage Loan. With this loan a borrower can purchase or refinance a home and include additional money for repairs and renovations.

NOTE: This is NOT an investor loan because FHA requires the home be owner/occupied. However, assisting a family member can be considered under certain circumstances. What can a buyer or seller do with a 203(k) loan:

Example of repairs:

-Replace roof
-Room addition
-Add a garage
-New Carpet Repair
-termite or moisture damage
-And more…

Types of Properties:

-Single Family 2-4 Units
-Mixed use (commercial and residential in one building)
-Manufactured Loans (YES manufactured homes, NO singlewides)

We can also provide information on real advantages of this loan and process as well as the two types of 203(k), streamlined and full.

Please contact your Lake Norman and Charlotte Agent at 704 315 8106 or Sherry Bradley at 704 617 9686 to get a full explanation and begin your search.

Related Blog Posts First Time Homebuyers Posting.

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What would my home sell for?

Jeremy Adair
Real Living - Davidson, NC
Cell: 704.315.8106
Fax: 704.892.9766
Jeremy.Adair@RealLiving.com