Benefits of Installment Sales:
Sell your appreciated asset in a installment sale pursuant to Section 453 of the Internal Revenue Code, without the credit and collateral risk that typically accompany an installment sale. Our business associate, as a dealer under Section 453, buys the asset from you on an installment contract for as long as 30 years.
They then re-sell the asset, usually immediately, to the ultimate buyer, usually for cash.
Our business associate will introduce to you to a lender which is generally willing to lend to you as a seller an amount of money that is comparable to your selling price, for you to invest as you please. Our business associate's installment payments to you will fund your payments on the loan, which will typically be limited-recourse.
While you defer for as long as 30 years your payment of the tax on the sale, inflation during the contract term will act in your favor, to allow you eventually to pay the tax in depreciated dollars.
Sell your appreciated asset in a installment sale pursuant to Section 453 of the Internal Revenue Code, without the credit and collateral risk that typically accompany an installment sale. Our business associate, as a dealer under Section 453, buys the asset from you on an installment contract for as long as 30 years.
They then re-sell the asset, usually immediately, to the ultimate buyer, usually for cash.
Our business associate will introduce to you to a lender which is generally willing to lend to you as a seller an amount of money that is comparable to your selling price, for you to invest as you please. Our business associate's installment payments to you will fund your payments on the loan, which will typically be limited-recourse.
While you defer for as long as 30 years your payment of the tax on the sale, inflation during the contract term will act in your favor, to allow you eventually to pay the tax in depreciated dollars.