Carl
Level 15

Investors & landlords

Currently with the way tax laws are, the "best" way is to not sell it to your son at all, but to leave it to him in your Last Will & Testament. Overall though, it would probably be best to discuss this with an estate planner, as laws differ state to state, and those state laws "can" (and mostly do) affect how things get treated on the federal side of taxes. Especially if you live in a community property state.