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Returning Member
posted Mar 3, 2024 12:30:57 PM

Real Estate

In 2022, my wife and I helped her sister and husband purchase a home because they could not get a mortgage due to their bad credit.  My wife and I are legally the joint owners.  All payments are withdrawn from our joint account but are paid back monthly by my sister-inlaw.  Does this classify as rental income? Or is this a cost-sharing agreement?  What forms do I need to fill out?  This is a short-term arrangement and they will be assuming legal ownership in the next 2 years.  

 

Thanks

0 3 488
3 Replies
Moderator
Mar 3, 2024 1:46:17 PM

If you are not charging your in-laws the same as you would someone off the street, then this a cost-sharing agreement.

Returning Member
Mar 4, 2024 7:58:17 AM

Thanks for the reply!

Intuit Alumni
Mar 4, 2024 8:23:47 AM

You're welcome.

 

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