construction "tax free" money - Posted by Bram

Posted by James Harris on May 04, 2006 at 17:11:41:

You don’t pay taxes on borrowed money.

construction “tax free” money - Posted by Bram

Posted by Bram on May 04, 2006 at 06:11:52:

I’ve read several books that discuss using “tax free” home improvement money for other investments. IE… I am in the process of getting an interest only “construction” loan for a fixer upper. It’s just cosmetic work, but is way underpiced. Plus i’m getting 80% of the appraised improved value. I’m doing the work myself. That extra construction money can be used for other investments but how is it “tax free”. Wont i have to show where that money went. thanks for your help.