How do taxes work if I'm buying a home from my parents for below market value?I currently live in a home in Observatory Park in Denver that I own with my mother. My mother wants to sell me and my husband the house, valued at about $480K, for $400K and finance the loan through her. We would need to change the title from being me and my mother to being me and my husband. How can we do this and avoid hefty gift taxes on the property, given that I am already a partial owner of the house but did not put down any equity?July 24 2013 - University Park00YesReport a ProblemProblemSelect oneOffensive contentIrrelevant contentSpam (pure self-promotion)OtherDetailsYour emailPlease enter a valid email address.Submit CancelContent flaggedWe will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.We're sorry. This service is temporarily unavailable. Please come back later and try again.