u/xray5001

Question is in the title. I fully intend on paying back the loan in full but since it is a low interest loan I might want to take my time finishing paying it off. I don't plan on borrowing money from the SBA ever again. Does the SBA care as long as it is being paid off as agreed?

Lets say that I sell a commercial investment property for $10M. I will buy 2 replacement NNN properties for part of that money. Can I use the rest of the sale proceeds to 1031 into a ski condo in Utah, a beach condo in the USVI, and a new primary residence if I don't plan to live in either of those 3 properties for 2 years and just airbnb/vrbo them while living in my current residence? After the 2 years of renting the 3 properties can I just move into them full time without ever renting them again? I might eventually exchange the NNN properties but I'm assuming that I'll never, ever sell the 3 vacation properties and those 3 will just get inherited by whoever is named in my will/trust.

tldr: Exchange one investment property for 2 NNN properties plus 3 condos that I'll rent out for 2 years before using them exclusively myself.

If someone gives me a $1M payment for an option to purchase my rental property for the period of 2 years (needs time to get through some complicated zoning issues) how does that work with a 1031? Obviously the normal 1031 time periods can't work over the 2 year option period so that 1M becomes boot?. I'm assuming the 1031 clock doesn't start ticking until the option holder and I actually close?

State of Florida, estate total value $4M. Parents are old school and in their current will and trusts named eldest son as executor and successor trustee. Unfortunately eldest son recently married for the 4th time and the new wife is unstable, prone to fits of rage and is always 100% correct in anything she says or does.

Currently everything is split 1/3 to eldest son, 1/3 to other child (me), and 1/3 to another family member. Upon discussions between myself and parents (but not eldest son because his latest wife would literally explode) we thought it best to give eldest son and myself a small 6 figure amount (we don't really need it), the other family member their 1/3 (it would be life changing for her) and split the other approximately 1/3 of eldest son's and mine to go to our kids (the grandkids - all are adults).

Eldest son's former ~1/3 goes to his 4 (adult) kids and my former ~1/3 goes to my 2 (adult) kids. That might cause some friction but seems fair since the 1/3 for each of us remains intact.

Eldest son is on 4th marriage and parents can't stand or trust latest overbearing wife and fear that eldest son will just give all executor/successor-trustee duties to wife so the plan is also to have eldest son and myself as co-executors and co-successor trustees (most assets are in the trust). Eldest son and I get along very well as long as new wife keeps her distance.

What are the pitfalls of co-exec/co-trustee? Meeting with attorney next week but would appreciate experience based opinions here.

First world problem here:

I started to set it and forget it over a decade ago and have a nice chunk of change at one of the major brokerages. I recently considered moving to a slightly bigger residence and noticed that the money in that account, if withdrawn, is 75% taxable gain where withdrawing $800k would expose $600k in taxable gains on top of the $500 taxable gains I'd get from selling my current place. I ran this through google gemini and anthropic claude and combined with my unexpectedly high income for this year and fed/state/local taxes (my state/city taxes cap gains as regular income), it'll be a major tax hit.

Unfortunately, I made the mistake of shopping for a new place first and of course a once in a lifetime place popped up.

I guess I'll have to figure a way over the next few years to keep the cap gains under the federal 15%, eat the state and local taxes and keep the cash somewhere and hope to find another great place.

Not really expecting any answers here, just wanted to share some of my sadness.

Be careful and plan ahead and thanks for listening (reading).

Anybody have any experience with this helmet? Not a panacea but it seems like a great idea to suppress some of the wind noise. It is pretty new to the market so there are limited reviews out there. (Schuberth is getting into this game too now but I don't believe it is available in the USA yet).

Just received a statement from my father's universal life insurance policy and I see that they are deducting over $2000 a month for a "mortality charge". Face amount/death benefit is $299k, surrender value $240k, premium paid $200k.

No loans on the policy.

Policy is 14 years old.

Father is 87 years old.

Similar statement with somewhat lower mortality charge on my Mom's statement.

I know nothing about life insurance but I am wary because the person that sold them the life policy also sold them some completely inappropriate other investments that we've had to wind down over the past few years.

I have no idea what is going on. Is the insurer reducing the value of the policy every month?

Here in NYC if you want to rent an apartment in pretty much any neighborhood the landlord is going to require that you gross a minimum of 40x the monthly rent in order to be approved.

Is that an appropriate ratio to use to estimate what your maximum all-in payment should be in an extremely HCOL area?

For instance, if your mortgage, real estate taxes, insurance, etc works out to $10k per month you should have an income of $400k per year.

Let's assume married couple with no kids living at home.

Interested in hearing from others in very high cost of living areas, with all due respect, and reading many posts on this subreddit, people in medium and lower COL areas may not have similar mindsets regarding the intrinsic value of living in a very HCOL area.

Are there any gotcha's or any legal/IRS requirements that we need to be aware of before considering taking out a hefty chunk of cash via mortgage from a not currently mortgaged commercial property (owned by a single member LLC) to purchase a primary residence (to be owned personally). Will also be selling current residence but will probably have a 6 month overlap owning both places at the same time and need about double the equity of the current residence to buy the new place. We're just trying to avoid taking money out of liquid investments that have sizable capital gains.

Florida.

Assume 95-100% of assets are put in a trust. Upon the person's demise, does the executor or the successor trustee have more "power" in properly and quickly selling real estate within the trust and distributing that money and other trust cash assets that are clearly divided up in the will to multiple heirs.

On this subreddit I keep seeing people referencing that DTI should be 28-33%. Does this apply for jumbo mortgages (looking at borrowing around $1.25M) in VHCOL areas with a substantial down payment?

When I google, I get the answer of DTI requirement of 35-41% in VHCOL areas with our 45-50% down payment.

Just for clarity this is Manhattan, NYC.

Some Saturday morning musings...

We currently have a $1.25M home in a VHCOL area, mortgage is mostly paid off so equity is a little over $1M. We'd like to start looking at $2M homes. Aside from regular IRAs we have $2.5M invested at a brokerage firm, but since the money has been sitting there for so long and just re-invested we have very low cost basis on pretty much everything in our portfolio so selling to cash out would trigger crazy capital gains. Brokerage firm is offering to give us a stock portfolio line of credit (SPLOC) up to $1.6M at a very favorable interest rate. We are thinking about using $1M from the SPLOC for a down payment on the $2M property and would pay off the SPLOC after selling our current place. Also if it makes any difference (1) we are both 65 years old, (2) we have other investment real estate assets with over $5M in equity, and (3) IRAs in the amount of $2M+.

Here are my questions:

(A) Would a bank lend us $1M if we used $1M from the SPLOC as the down payment?

(B) Would we still qualify for the $500k capital gains waiver on sale of our current primary residence even if we closed on the new place a few months before?

EDIT: Current property is a NYC co-op apartment so a HELOC is a time consuming PITA requiring approvals and exposing all of our investments to our nosey co-op board and managing agent.