Skip to main content

Sell house before 2 years of ownership?

I’m a first time home buyer who inherited 50% of a house in CA and bought out the other half through refinancing. I put a good amount of money into fixing the house up (around $150,000) because it was pretty beat up after 40 years, I also turned the garage into a junior ADU. I’m getting low on cash and am unsure what to do next. Construction was a lot more than expected and took a lot longer as well. I decided I’d rather move to another state and buy a cheaper home cash and forgo a mortgage. I’d like to put the house on the market as soon as possible but I won’t hit the two year capital gains requirement until March 2025. It’ll cost me about $30,000 till March in mortgage and property taxes. I have about $600,000 equity in the home and with the $150,000 in improvements puts me at around $750,000 equity, my mortgage has about $428K left on it. I’m curious what the taxes would be if I sold before the two year mark and if it’s worth to sell it now or wait until March of 2025? The home is appraised at $1,061,000 but hasn’t been reassessed with the new improvements yet. I think I can sell for at least 1.2-1.3 million with the ADU making it a multi family dwelling now. Tried reaching out to TAX attorneys but to no avail, was hoping someone with extensive knowledge could give me their opinion on what to do next? Thank You

submitted by /u/Possible_Argument812
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/1dy2714/sell_house_before_2_years_of_ownership/
Labels:

Comments

Post a Comment

Popular posts from this blog

North Carolina – “One to Buy; Two to Sell”

I realize I will likely have to contact a real estate attorney but also hoping to hear insights and experiences from others! I have a house in NC that I bought by myself in 2009, and paid off, in full, in 2022. I got married in 2023. My spouse and I have not lived in the house as our "marital residence". We have maintained separate residences even after we got married. (That a separate topic!). I am now selling this house. Realtors have told us that my husband has to sign the deed at time of transfer but I am not convinced since the house has not been our marital residence. The realtors like to use the phrase "one to buy; two to sell", which seems like a broad-stroke statement which is not applicable under all circumstances. And of course, the realtors don’t realize the details of my specific circumstances: I purchased and paid for the house in full prior to marriage Only my name is on the deed And most importantly, we have never lived in the house as a marit...
Post a Comment
Read more

Question With Tricon "Pending ID".....

My wife and i, along with 2 other peopl applied to rent a house, and our application says "Approved, Pending ID". Anyone else know what that means? Do we pretty much have the place or are we missing something? submitted by /u/Itskrueger [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1orixqj/question_with_tricon_pending_id/
Post a Comment
Read more

Making offers on houses not listed for sale.

I want to buy a home for retirement. I am looking at lots of options, mostly focusing on the locations that appeal to me. I see lots of Zillow estimates of homes that look like great deals to me. Are these estimates accurate, even though similar houses in the same area that are for sale are usually priced much higher? If so, is it realistic for me to try to make offers to owners that do not have their homes listed? Would a realtor even consider helping me do this? Or, do these values indicate that the houses listed for sale are overpriced, and I should just lowball until someone accepts? Are houses today tending to sell far below list prices, or ??? submitted by /u/chewybrian [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1o4mcon/making_offers_on_houses_not_listed_for_sale/
Post a Comment
Read more