Originally Posted by Buffalo Jim (Post 988955)

In my lengthy career as a Commercial Banker I have seen this type of transaction a few times
1 ] No , I doubt very much that such a transaction even if for " cash " is anything close to a " Money-laundering " scheme . Calling a purchase of real estate a ' cash " deal only means that there is no loan involved to acquire the property . Even a " money-launderer would not be making this public type of transaction with a suit-case full of cash :)

2] usually when you come across this type of situation there is another " part of the deal " involving a separate piece of income producing real estate or as is often the case a viable successful ongoing business .

3] The " other " part of the deal involves selling say an ongoing business at it`s " Net asset value " which leaves no capital gains to be subject to income taxes . The " Cash flow " value of the business say in this case about $500,000 is added into the price of a home residence .

4] Recall that a Homeowner over the age of 55 who has lived in their residence for 2 years or more can claim a one time tax exemption for the Capital Gains they might realize upon sale of their home .

5] So......... say I own a business which at market is worth about $750,000 as a going concern . say the physical assets of the business are worth about $250,000 . if I sold the business for $750K , I would be subject to long term gain taxes on the $500K over and above the book value which is $250K .

6] So as part of my negotiations I agree to sell the business for only $250K [ book value ] , if and only if the buyer also agreed to purchase my residence for $500K more than it might be appraised for .

7] Net result , I sell my business and my residence and avoid any Capital Gain Taxes .

8 ] Now before every former CPA , Lawyer et al come at me : I have seen this done in " real life " 2 or 3 times . The deals took place in the Buffalo area and also took place almost 10 years ago . So I would not be in the least bit surprised if the " Tax -Folks " have by now figured out how to prevent such structured transactions . Then again ..................

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by Jim 9922 (Post 988429)

If people like they can buy it at whatever value they believe is proper. Is really anyone else's problem? There are several homes currently for sale at over $1,000,000. It's their money to spend as they see fit. I see no difference between these high home expenditures and the $700,000 motor coaches , or $250,000 sports cars, etc, one sees running around The Villages, or $300,000 weddings, or private jets.

Originally Posted by Beaner (Post 989152)

Watched this thread yesterday and had many good laughs. Hate to ruin your fun guys but my sister-in-law is the buyer. She is not an alien, not avoiding taxes, not laundering money, nor does she own a cigarette boat. She is a great gal that has been very blessed and fell in love with TV just like the rest of us.
We didn't tell her about this thread and hopefully she won't she it and see all the negative attitudes and envy that we told her wasn't prevalent here.
Happy New Year and let's show that we really are America's Friendliest Hometown.

Originally Posted by ADR0317 (Post 989263)

Has it been verified that this woman is NOT an alien? :-)

Originally Posted by janmcn (Post 988947)

It will be easy enough to background check the new owner as soon as the property transfers, unless it was bought under a corporate name.

Originally Posted by dbussone (Post 989395)

Ouuuh. What's the second?