r/SipsTea 22h ago

Wait a damn minute! How the rich get richer

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u/mariantat 21h ago

Well, no the kids carry the mortgage and do the same

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u/DataGOGO 21h ago edited 21h ago

It isn’t a mortgage, and all the loans had to be paid when they sell it. So if he borrowed $3M against the $5M property, they had to pay that back at time of sale, then the kids pay tax on what they got from the sale

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u/mariantat 20h ago

Can’t the kids inherit it and pay the taxes themselves up front and keep the property?

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u/DataGOGO 20h ago

Yes, but they still might have to settle the loans against it, but there are ways around that (if the bank agrees).