1031 exchange dilemma - Posted by David (TN)
Posted by David (TN) on June 23, 1999 at 15:16:15:
Here is the problem I have encountered:
I have a seller who is willing to give me back a repair allowance (around 20% of the sales price ) for carpet, repairs etc. But now that he has decided to do a 1031 exchange, he has to have the allowance show up on the HUD. My lender however, will not allow the allowance and says we need to do it outside of closing, this would not work for his 1031 exchange because the HUD would show more than he is actually collecting.
Any ideas or suggestions around this?