@Hello786 wrote:
Would it make sense to do a quitclaim deed at closing to give all interest in the property to me if all my family members agree? My thought on this is that it would allow me to handle all the tax obligations with my $500k exclusion and have my name on the 1099 alone.
You would essentially be gaming the system as there were completed gifts from your mother to you and your sister and then to one of your sisters from you, your mother, and your other sister. Now, with a QC, you would basically have a gift from your sisters and your mother to you (it is not possible to hide this chain of title unless deeds were not recorded).
This is a complicated scenario and that is not even taking the fling of a Form 709 by each donor into consideration. You really should consult a tax professional.
Note that you can use your home sale exclusion if you owned and used the home as your main home for two out of the last five years leading up to the sale (for your share).
