real estate tax consequences

Performance Property Real Estate Question

Tax Consequences Of Selling Property In December vs. January

Q: My buyer had some complications with his mortgage so it has taken longer than expected to close on a property I’m selling.  Should I just wait until January to close for tax reasons? Nicole, Bridgeport, Ct. A: Hi Nicole, that’s a good question.  I don’t know whether you are selling your personal residence or another property that you own–if you’re selling your personal residence, you’re eligible for a $250,000 exclusion on the gain when you sell as an individual or a $500,000 exclusion on the gain when you sell if you’re married and file your taxes jointly with your spouse. In answering your question, I’ll assume you are selling an investment property not your personal residence.  If you close […]

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