I am buying a second home on one full lot and the 1/2 vacant lot next to it. Both are part of a trust. We can't get a single loan to cover both because our lender will not do a bridge loan covering home combined with vacant land. Our solution was to amend sales contract and loan to cover home only and seller did a quit claim deed to transfer the 1/2 lot to us separately. There is no exchange of money for the 1/2 lot because value was included in purchase price of home. Will this be considered a "gift" for tax purposes? Also, in the future I would like to combine the two parcels for tax purposes and to make it easier to sell them when the time comes in case future buyer does not want to handle 1/2 lot by quit claim deed. If I reparcel and combine the house lot and 1/2 vacant lot into one parcel, what would the federal tax and state implications be? The home is in Washington and will be a second home. I live in Oregon.