Posted by edwin on November 19, 2009 at 21:20:17:
In Reply to: Tax advantages for SELLERS (financing) CPA's posted by dontjustrent on November 16, 2009 at 10:20:44:
Sounds like you could take advantage of the spread between cash now and payments over a period of years. The cash price might be $650k now, but you'll pay him $700K if he finances it. You're not really paying more, since the 50k price difference is negated by the payments you negotiate. And the seller is not necessariy getting $700k, because the present value of $700k in the future is less than $700k. He may not be aware of that, or may simply not care.