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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Something reasonable.. Posted by Ward-CA- on June 25, 2003 at 7:54 PM In Reply to: What % on the note posted by Mike on June 25, 2003 at 1:50 PM : When you give a seller in Foreclosure a note, what interest are we giving them if any? Is a 0% interest note considered unconscionable? =•=•=•=•=•=•=•=•=•=•= Mike, I think IRS will impute an interest rate of 3% between non-related parties, if no rate is stated or if 0% is indicated. So you might give the owners something that's considered reasonable, like 6% to 8%, where the principal amount is usually less than $50K and the time is generally short, 3 to 6 months. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : When you give a seller in Foreclosure a note, what interest are we giving them if any? Is a 0% interest note considered unconscionable? : =•=•=•=•=•=•=•=•=•=•= : Mike, : I think IRS will impute an interest rate of 3% between non-related parties, if no rate is stated or if 0% is indicated. : So you might give the owners something that's considered reasonable, like 6% to 8%, where the principal amount is usually less than $50K and the time is generally short, 3 to 6 months. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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