ILLMAS Posted March 9, 2009 Report Share Posted March 9, 2009 My client took over his daughters mortgage because she and her husband no longer could afford it. He brought in the quick claim deed and the mortgage note, but there was no sale. What was owed was basically transfered to the father + new settlement charges, should the cost of the house be capitalized on my client tax return or should I capitalize the amount he assumed? The house was being rented since the beginning of 2008, so it has to capitalized. Thanks Quote Link to comment Share on other sites More sharing options...
jasdlm Posted March 9, 2009 Report Share Posted March 9, 2009 Since you say there was a quit claim deed, I assume the house is now in father's name. Looks like a sale to me for the total amount due on the mortgage. Did the father assume the mortage or refinance? Quote Link to comment Share on other sites More sharing options...
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