Okay, given all that has been said about temporary financing, how do you view the following scenario?

1) Bridge Loan: Client takes out a 1yr term equity loan, against property A to help them buy property B a new home for all cash. No permanent financing on prop B.

The source of repayment for the 1yr term bridge loan is the sale of property A. My take is it is not reportable. Any feedback?

2) Similar 1yr Bridge loan against prop A to help acquire property B, but prop B has other permanent financing. The equity from prop A is used as a down payment on B.

Again, source of repayment for the Bridge Loan is sale of proeprty A. My take, not reportable. Any feedback?

Thanks to all!

Asked and answered in the Temporary Financing Cave In thread.

IMO it is reportable. Financing is considered temporary if it will be replaced w/permanent financing of a much longer term. In this case it will be paid off by the sale of the existing property. We would report it.

JW - in item 1 above, there is no permanent financing anywhere involved. Why would you report 1?

Old School: Please don't ask the same question in two threads. Many of us try to answer as many questions as we can (volunteering our time) and double posts lead to a waste of time (yours and ours). Plus, you have people responding in 2 places. JW answered you here, while Dan and I answered you in the "Temporary Financing Cave In" thread.