6737 Coronet — Action Plan

Apr 22

Date of Death

Jul '26

Target Close

~$130K

Net Est. (50/50)

Overall Progress

0/0

Joseph holds title to Coronet via the 9/29/2025 quitclaim. Sell as-is to a cash investor — do not rebuild, do not list with a retail agent. Target close end of July 2026 to capture the §2036 step-up before the macro window narrows.

🛡️This Week — Secure & ProtectUrgent

Heavy-duty chain & lock on broken front door

DONE per Larry — keeps trespassers out, protects against liability

Bind vacant-dwelling insurance, liability minimum $300K

Burns & Wilcox Tampa 813-289-8800 or any FL surplus lines broker. Disclose: broken door, water damage, recent death, unoccupied. ~$400-600 for 90 days.

Call Polk Property Appraiser to withdraw pending homestead application

863-534-4777. Notify them of uncle's death. Critical — fraud lien risk if it processes.

Order date-of-death retrospective appraisal (~$500)

"Retrospective appraisal as of April 22, 2026, for federal tax basis purposes." Value in then-condition (pre-decomposition).

Locate failed-listing cancellation paperwork from May 2025

Defense against any future commission claim from soliciting Realtor

📨Investor Letters — Sort & TriageThis Week

Three categories: wholesalers (avoid — they assign your contract for a fee), flippers (target — they close with their own cash), iBuyers (skip — they don't buy mobile homes).

Sort all investor letters into 3 buckets

Tells: real LLC name + local address + portfolio website = flipper. Generic "we buy houses" = wholesaler.

Pull top 5 flipper candidates for outreach Call each: 1.15-acre lot, 1978 single-wide, poor condition, cash, 14-day close

Disclose death, water damage, smell. Ask for written LOI in 24 hours with proof of funds.

Collect written LOIs by email (not verbal) Discard lowest offer (likely wholesaler signal) Run one round of competition between top 2

"I have another offer at $X. Can you do better?" Stop after one round.

📋Contract Terms — Watch ListAt Offer

Proof of funds attached to offer (bank statement or POF letter) Earnest money $2,500-5,000 minimum, non-refundable after short inspection Inspection period 7 days max

30-day inspection = wholesaler red flag

Closing within 14-21 days As-is, no repairs, no warranties Title company of YOUR choosing (reputable local), not theirs No financing contingency, no appraisal contingency

🏁Sale Close & DistributionJune-July

Confirm CPA has §2036 position memo in hand before closing Sale closes — settlement statement filed in document vault Net proceeds wired to Joseph Joseph distributes net proceeds 50/50 to Larry and Steve Cancel vacant dwelling insurance (refund prorated)

Mother is uncle's only sibling and sole intestate heir under Florida §732.103. The $8K bank account is hers — Coronet is not part of this petition (transferred pre-death by deed).

⚖️Petition for Summary AdministrationThis Month

Pro se filing chosen (~$400 filing fee, no attorney)

DECIDED — Polk Clerk recommended this path for single-asset, single-heir estate

Complete Petition for Summary Administration (Mom = Petitioner) Attach uncle's certified death certificate List Mom as sole intestate heir (only sibling under §732.103) Optional: include language acknowledging Coronet is NOT a probate asset

Belt-and-suspenders for Joseph's title chain

File at Polk County Clerk of Court (Bartow) Pay filing fee (~$235-400 depending on path)

🏦Bank Account RecoveryAfter Court Order

Call Bank of Central Florida — confirm account status & ask about POD beneficiary

If POD named, Mom may be able to claim with just a death certificate, no probate needed

Bank statement research (12 months) for any insurance premium payments

Identifies any active homeowner's policy on Coronet

Receive Court Order from Summary Administration (30-90 days) Present Order to bank, request release of $8K to Mom Order LexisNexis CLUE report (free) — finds any prior insurance carriers

consumerdisclosure.com or 1-866-312-8076. ~10 days.

All documentation needed for the §2036 position, the sale, and audit defense.

📁 Open Documents Folder Google Drive ↗

All PDFs, deeds, certificates, and records live here. Anyone with the link can view.

📥Added Documents0

+ Add a Document from Google Drive

Upload your PDF to the Documents folder first, set sharing to "Anyone with the link can view", then paste the share URL below.

Google Drive Share URL * Title * Description (optional)

✅Already In Hand

📄

Quitclaim Deed (recorded 9/29/2025) ↗ VIEW PDF

Book 13717 Pg 264-267, Instr 2025228669. Stored in Google Drive.

📋

Polk County Property Appraiser record

2025 JMV $170,823. Tax-roll baseline for §2036 fallback.

📥Need to Obtain — High PriorityActive

Date-of-death retrospective appraisal (April 22, 2026)

Documents Joseph's stepped-up basis under §1014(b)(9)

Uncle's certified death certificate (multiple copies) Uncle's hospital records — terminal diagnosis pre-9/29/2025

Critical evidence for §2036 deathbed-transfer position

Larry & Joseph transplant records (6/25/2025) & recovery period

Establishes context for emergency timing of deed

Evidence of uncle's continued occupancy 9/29/2025 → 4/22/2026

Mail at Coronet, utility bills in his name, neighbor statements, in-home nursing schedules, 911/police report from welfare check

Failed listing cancellation paperwork (May-June 2025)

📤Will Be Generated During Process

📝

CPA §2036 position memo

2-3 page written analysis citing facts & tax authorities. Filed with Joseph's 2026 return docs.

🧾

Investor LOIs / written offers

Keep top 3 offers as evidence of arms-length sale process

📑

Settlement Statement (HUD-1 / CD)

Documents amount realized, doc stamps, prorations

⚖️

Court Order from Summary Administration

Released to Mom for bank account claim

🛡️

Vacant dwelling insurance binder

Active 90-day liability coverage during sale window

📦Property Walk-Through — Look ForOptional

Send a remediation crew, not Larry. Immunosuppressants + decomposition = bad combination.

Mail pile near front door — insurance renewals, agent contacts Filing cabinet, desk, kitchen drawers — declarations pages Refrigerator/bulletin board — agent magnets, contact cards Photograph everything before any work — interior/exterior/damage

Engagement status of each professional needed. Goal: minimize Larry's bandwidth — make 4 phone calls, sign things when put in front of you, the rest happens without you.

Polk County Property Appraiser

863-534-4777
Withdraw pending homestead application; notify of death

Call This Week

Polk County Clerk of Court

Bartow location
Summary Administration filing — Mom's track

Mom's Track

Bank of Central Florida

Confirm POD beneficiary on account; request 12-month statement research for insurance premiums

Call This Week

Vacant Dwelling Insurance

Burns & Wilcox Tampa 813-289-8800 OR any local independent broker writing Foremost / surplus lines

Bind This Week

Florida Estate CPA

Search "Lakeland estate tax CPA" or referral from probate attorney. §2036 position memo + Joseph's 2025/2026 returns. ~$1,500-2,500 flat.

Engage This Month

Residential Real Estate Appraiser

FL state-certified, retrospective appraisal as of April 22, 2026. ~$500.

Order This Week

Polk County Tax Collector

863-534-4700
Confirm 2025 tax payment status, ad-valorem reset for 2026

As Needed

Probate Attorney (not needed)

Pro se filing chosen — single-asset, single-heir estate. Skip unless complications arise.

Skipped

Title Company (for sale)

Reputable local Polk/Lakeland firm — chosen by seller, not buyer

At Contract

LexisNexis CLUE

consumerdisclosure.com — free claims history report; identifies any prior insurance carrier

Order Free

Steve (50/50 partner): equal economic interest in Coronet sale proceeds.

Joseph's $0 income year is its own tax shelter — most LTCG falls in the 0% bracket regardless of basis. The §2036 step-up is worth pursuing but lower-stakes than originally projected.

📅Filing Calendar

Joseph's 2025 Form 1040

Due

October 15, 2026 (extension already filed)

Income

~$3,500 ordinary; below standard deduction

Property

No reporting needed — sale hasn't happened in 2025

Medical

$1M+ in donor benefits NOT income; $8K NLDAC NOT income

Tax owed

~$0

Joseph's 2026 Form 1040

Due

April 15, 2027 (or Oct 15, 2027 with extension)

Schedule D

Coronet sale, basis = appraised DOD value (§2036 step-up)

Attach

CPA position memo + (optional) Form 8275 disclosure

Tax range

$0 if step-up holds; max ~$9K if it fails

Mom's 2026 Form 1040

Income

$8K bank account distribution = NOT taxable (inheritance, §102)

Reporting

No special treatment needed; bank may issue 1099-INT for any interest accrued

📐§2036 Step-Up PositionStrategy

Theory: Uncle was terminal at the time of the 9/29/2025 deed and continued to occupy Coronet as his stated homestead until death 4/22/2026. Under IRC §2036(a)(1), retained beneficial enjoyment pulls the property into the federal gross estate. Under §1014(b)(9), inclusion in the gross estate triggers basis step-up to date-of-death FMV.

CPA confirms §2036 position is defensible on facts Date-of-death appraisal in hand (~$150-170K range) CPA writes 2-3 page position memo

Cites medical records, deed language, occupancy evidence. Stored in Joseph's permanent tax file.

SKIP Form 706 — use Schedule D approach

Cost-benefit doesn't justify Form 706 prep at this exposure level

SKIP Form 709 — §2036 inclusion = no completed gift

Theories are mutually consistent and reinforce each other

Optional: Form 8275 disclosure attached to Joseph's 2026 return

Eliminates accuracy-related penalty if position is later challenged

💡Tax Optimization PlaysIf Available

Ask buyer about split-year closing (Dec 2026 + Jan 2027)

§453 installment sale — uses Joseph's 0% LTCG bracket twice. Saves ~$2K if §2036 fails.

Audit Joseph's other holdings for 2026 gain harvesting

First $49,450 of LTCG is at 0% regardless of source.

Confirm with CPA whether sale loss is deductible

If basis $170K, sale $130K = $40K paper loss. May qualify as investment loss under §165.

🚫Confirmed Non-IssuesClosed

$1M+ donor medical benefits

Not deductible (insurance/program paid, not Joseph). Not taxable. Net tax impact $0.

$8K NLDAC payment

Not taxable income (federal program reimbursement). Not deductible (would be double-dipping). Wash.

Trust pre-sale

RLT is tax-transparent — no benefit. Irrevocable trust at 37% top rate compresses at $15,650 — worse, not better.

§1031 exchange

Property not held for investment use — Joseph never rented it. Doesn't qualify.

Opportunity Zone investment

2017 TCJA window closed end of 2026. New OZ 2.0 framework starts 2027 but deferral benefit smaller than original.