Notes receive principal and interest. Just like an installment sale.
Where/how do I report my basis (guessing at this term) of the note as I receive principal?
Notes also can foreclose as this one is in the process of. I paid say $50k for the note, I foreclose, have legal expenses, get back either cash at the auction or the house. I'd have the house appraised to set what gain or loss.
You saying 4797 or 8949 to report the complete transaction; buy, return of principal, sale?
tnx curt
