"Stuart O. Bronstein" <spamtrap[at]lexregia.com> wrote

- quote -

That may be true in some instances, but I'm thinking of
making damn sure that the note is recorded and the family
lender has a tightly secured interest in the home. Else
some bad blood cometh if someone gets in there and takes the
property and the note is still due because it wasn't secured
properly.

--
Paul A. Thomas, CPA
Athens, Georgia
taxman at negia.net

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Eric <elerspam[at]mindspamspring.com> wrote:
- quote -

Yup. Every month they come out with a new list of interest
rates to be used in various situations. Take a look at

http://www.irs.gov/pub/irs-irbs/irb03-49.pdf

Stu

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"Stuart O. Bronstein" <spamtrap[at]lexregia.com> wrote in news:vto8d9s7eq7nd6

- quote -

They do this?
(shock and awe!)

Regards,
Eric

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"Paul A Thomas" <taxman[at]negia.net> wrote:
- quote -

Not that I'd turn down business, but in states that have
title insurance/escrow companies, they may do the paperwork
for most transactions, and could likely do it for a lot less
money than most lawyers would charge.

Stu

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patel227[at]yahoo.com (tweety) wrote:

- quote -

Depends in part on the state you are in. In general you'd
create and execute a note. Then draft a security agreement
(typically a mortgage or deed of trust), which should be
notarized and recorded with the county.

Finally, check with the IRS to determine the minimum
interest rate that has to be charged based on the date of
the note and the length of the payback period.

That's pretty much it.

Stu

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"tweety" <patel227[at]yahoo.com> wrote

- quote -

As long as the note and lein on the house are properly
recorded at the county courthouse, the interest is
deductible by you. In either event, it would be income to
the family member that loaned it to you.

- quote -

Get an attorney to draw up the legal papers and file them
with the courthouse. This is a necessity, not an option.

As for pros and cons, there are many variables on both sides
of the issue that can't be seriously discussed without more
detailed financial information that you probably don't want
on a public Usenet.

--
Paul A. Thomas, CPA
Athens, Georgia
taxman at negia.net

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Does anyone know how to get a private mortgage for a house
from family member? I feel that if I am going to pay so
much in interest, why not keep it in the family and still
get tax deductions.

What is the process I need to follow? Also, I am intersted
to know what are the Pros/Cons of this approach? I don't
have any trust or defaut issues.

Also, the member will be 65 this year and I like to know
what the implications are for medicare eligibility etc.

Also, can you point me to where I can get further info from
on this topic?

Thank you.

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