I have a question on a deemed payment for an installment sale. I have a client who sold real property on an installment sale. The buyer of the property has now done a like kind exchange for another piece of property. The holder of the installment note did not receive any cash payment but instead rolled over the note to the new property. Does the holder of the installment note have a deemed payment on the original property sold?
I don't know the answer. I want to ask a question. How does someone buying a property on land contract - hence does not have deed to the property - use the property for a like kind exchange? Does the holder of the note own both properties?