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Question about purchasing a camp

Posted on 2/22/16 at 3:21 pm
Posted by stein_burgundy
Member since Jan 2016
831 posts
Posted on 2/22/16 at 3:21 pm
I along with my dad and two friends are looking at purchasing a camp centrally located to a 90000 acre management area. I have a few questions for anyone with experience in these types of purchases.

1)What would be the better scenario tax wise and ease of transaction?
A)One of us purchase and have the other three just pay that person.
B)Form an LLC with 4 equal shares and purchase that way?

2)Are there benefits to any particular type of loans for this sort of purchase? (somewhat like a vacation home that will only be used ~5 months out of the year)

Any other tips/tricks would be greatly appreciated.
Posted by wickowick
Head of Island
Member since Dec 2006
45814 posts
Posted on 2/22/16 at 5:40 pm to
How large a purchase is this?
Posted by NEWBIE
Member since Jun 2008
196 posts
Posted on 2/22/16 at 7:36 pm to
quote:

A)One of us purchase and have the other three just pay that person.


Don't do this
Posted by eng08
Member since Jan 2013
5997 posts
Posted on 2/22/16 at 9:29 pm to
Llc
Posted by stein_burgundy
Member since Jan 2016
831 posts
Posted on 2/23/16 at 9:32 am to
$40000 for camp and the lot its on.
Posted by jimbeam
University of LSU
Member since Oct 2011
75703 posts
Posted on 2/23/16 at 9:39 am to
shite just pay cash
Posted by stein_burgundy
Member since Jan 2016
831 posts
Posted on 2/23/16 at 9:49 am to
That would be ideal if we all had the cash to do it.
Posted by LSURussian
Member since Feb 2005
126962 posts
Posted on 2/23/16 at 10:00 am to
LLC is the way to go....unless you want your friends to become future ex-friends.
Posted by Motorboat
At the camp
Member since Oct 2007
22686 posts
Posted on 2/23/16 at 10:41 am to
quote:

LLC is the way to go....unless you want your friends to become future ex-friends.


Honestly, a 4 way co-ownership is probably OK for this. Getting insurance for an LLC will be more expensive.
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