My mother owns a second (vacation) home. It's never been her primary residence. I want to buy it from her. She bought it 6 years ago for $123k. The appraised value is $220k. She owes $86k. She want to sell it to me (her son) for the loan value and the rest is a gift of equity. How can we minimize or eliminate her tax liability? I don't know if this helps, but she collects payment on a permanent disability and produces no other income.
