Selling property to family member

[jfk00]

What is the name of your state?What is the name of your state? Florida

I recently purchased a second house (a fixer-upper) that is in my name with no mortgage. My son is going to live in it and needs to claim the homestead exemption for the property thus limiting yearly increases in the real estate taxes. I will be financing his mortgage as he went through bankruptcy two years ago and cannot get a decent loan. He is going to do the renovation to the house himself, but in order to pull the building permits he must be the owner. The property is worth considerably more than his purchase price to me as the property can be divided into two parcels. I wish to sell off the second parcel once it is divided, and I will retain that profit. Several questions:
1. Can homestead exemption be claimed if both of our names are on the deed?
2. What is the best way to put his name on the deed with me? I don’t want to remove my name until the property is divided and the lot is sold because I would be the person responsible for capital gains taxes and an installment sale.
3. Is it necessary to record his mortgage, as doc stamps would cost about $500?

 

[HomeGuru]

What is the name of your state?What is the name of your state? Florida

I recently purchased a second house (a fixer-upper) that is in my name with no mortgage. My son is going to live in it and needs to claim the homestead exemption for the property thus limiting yearly increases in the real estate taxes. I will be financing his mortgage as he went through bankruptcy two years ago and cannot get a decent loan. He is going to do the renovation to the house himself, but in order to pull the building permits he must be the owner. The property is worth considerably more than his purchase price to me as the property can be divided into two parcels. I wish to sell off the second parcel once it is divided, and I will retain that profit. Several questions:
1. Can homestead exemption be claimed if both of our names are on the deed?

**A: yes.
******
2. What is the best way to put his name on the deed with me? I don’t want to remove my name until the property is divided and the lot is sold because I would be the person responsible for capital gains taxes and an installment sale.

**A: see a RE attorney.
*****
3. Is it necessary to record his mortgage, as doc stamps would cost about $500?

**A: no, but it is unwise NOT to do so.