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> There's no need to price anything. You value the assets put up as collateral as the amount of the loan they are securing. People take out loans for much more
by hansvm 5y ago
> There's no need to price anything. You value the assets put up as collateral as the amount of the loan they are securing.
People take out loans for much more or less than the value of the collateral. Do we ban that, or do we open up another tax/laundering loophole by letting the official value of a property diverge arbitrarily from a hypothetical sale value?
- telchar 5y agoThe taxable amount would be the loan amount, not the value of the property. The loan is trivial to value. If the property later sells for less than the loan amount then it would be a capital loss that could be carried forward from there.