The house is in Virginia.  I've seen considerable gains on the property.  But do not want to pay 15% Federal tax rate + Virginia state capital gain taxes.  I've looked into a 1031 exchange, but would rather just sell the property.  I had to move out of my primary residence because of work.
210375
Have you really realized that much of a capital gain in a year? If so, you can always reinvest the proceeds before December 31 and defer any taxes, it does not have to be a 1031 excahnge.
655930
Insted of keeping money in Capital gain bonds or in some other tax savings bonds,   Buy some property (A house or a flat).  That will give you better return and on the other you can save capital gains.  Consult your C.A.
474683
You only pay capital gains on PROFIT, not gross proceeds. If you come out at 0, you dont have to worry about capital gains. \n\nI bought house for $152, sold it at $167, and only paid capital gains on about $5K becuase that was all the profit I made on the deal. \n\nAs long as you keep your paperwork to show that the cash you're getting back is your down payment and not profit (hang onto your original closing statement) then the 1031 exchange is a moot point.
9627
That depends on the amount of the gain, your overall tax bracket, the amount of tax already paid for the year, etc., etc. The best strategy is to use a tax planning tool and put all the information in for the year including your filing status (single, married joint, married separate, etc), wages, tax withheld, whether or not you have mortgage interest or property taxes, interest and dividends as well as the capital gains. IF you come up short, you should pay Federal and state estimated taxes. If not, no reason to do so. You could be hit with a small estimated tax penalty which is basically equal to the amount of interest due on the amount of the underpayment if you come up significantly short.
645791
That depends.  If it was your principal residence, and if you lived in it for 2 out of the last 5 years immediately prior to the sale, then you may exclude up to $250,000 ($500,000 if married filing jointly) in gain from federal taxes.  Excess gains are taxed as capital gains, as is the entire gain if you don't meet the ownership, residency and/or occupancy conditions.\n\nCA law may vary on that.  Consult a tax advisor in CA for full details.
425509
Yes you will have to pay. It is not your primary residence. However, you could defer the taxes through a 1031 exchange and purchase a similar property and not pay taxes right away. This probably won't help you because you want to pay down your mortgage though.
15888
As little as possible is often the most popular idea. However, it is wise to put down enough to make sure the property income will service the debt payments and taxes. You don't want to be paying out of pocket evey month unless you really need the loss for tax purposes. \n\nMost banks or savings and loans will require between 20 and 30 percent down payment in the US. The lenders are looking for the property to break-even or have some positive cash flow based on their projections income and expenses. The appraiser is often asked to make these estimates. However, I have purchased investment property with nothing but closing costs out of pocket using hard money lenders. I've even borrowed more than the purchase price when the appraised value was much higher than the purchase price. I have also run across some credit unions that loaned 100% for borrowers who had a good track record with the credit union. It's all in the deal.
399285
Excellent question that is sure to get a wide variety of answers.\n\nPersonally, I'd take the loss and use the $3000 against other income.  This will lower your AGI and your taxable income...both are usually good things.  Lower your tax burden now.  Use the windfall to purchase more of the mutual fund.  If you are happy with the fund, why sell it?\n\nThe federal government taxes LTCG at 15%...CA taxes all gains the same.  If you don't sell the mutual fund, you save 28% + 9% x $3000 or $1110 in taxes for two years straight.  If you sell the mutual fund now, you will lose out on that windfall.  If you sell the mutual fund 5 years from now, the extra tax burdon will be 15% + 9% x $3000 = $720 ... a net gain of $390.  Not only that, but you will be able to make interest off the government's $720 for five years before having to pay it back AND you won't be out the 1% sales expense.\n\nIn general, it is best to offset short-term capital gains with losses, but try to not offset long-term capital gains.  A better way to say this may be to say never use long-term gains to offset any capital loss.  Take the loss, lower your income, and enjoy the tax break.\n\nOne big caveot is you never know what Congress will do with tax rates, especially capital gains.  A shift to a Democratic congress may cause the LTCG rate to go back to 20%.  Even at 20% this type of tax planning makes sense, but the benefit drops considerably.
301161
No, you can't avoid capital gains tax. Unless it is in an IRA if you sell it you pay taxes. That may not be that bad. If it is a long term gain bite the bullet and pay the 15%. The 15% maximum capital gains tax is a big windfall to someone in your situation. No one likes to pay taxes but in your case it is pay me a little now or a lot later.\n\nIf it isn't a long term gain yet then certainly wait until it is.
484654
Hello, in the past two years you don't think the value of your current property has risen $15K?  If not then you should certainly wait.  Purchasing a new home right now also has its downside as their value may still be increasing but not as it was a few years back.  So I would sit tight for a bit and build more equity before you make any rash decisions.  You should never owe money out of pocket on your home when you sell it!!!
374384
If this is your primary residence there is no capital gains tax. The purchasor will only pay stamp duty at 3% (£10,800).\nIf this is not your promary residence you will also pay capital gains tax. But to calculate that you will need to give the price you bought the house for and how long you have held it.\nCapital gain will be at gain (£360,000-purchase price) adjsted for taper relief (depends on how long you have held it). \nAlso any improvements you have made can be taken into account in the cost (e.g. extensions).
601790
I'm sure the laws vary from state to state. I live in Ky. and here you would be responsible for the property taxes on the home. If you're keeping the home you're not really selling it so there should be no sales tax. There will be a fee to transfer it into your name of course but with you being in Florida I can't even give you a ball park figure. It would be a good idea to call your local court house to get a better idea about things. I think the PVA office could give you the answers you need. (property value admin.)
666823
You have to pay taxes on gains over 250K for an individual or 500K in your case. In calculation of the gains you can also deduct all the improvements you made.\n\nYou do not have to pay any taxes if you lived in the house for over two out of five years prior to it's sale and your gains are less then stated above. So, sell now, and good luck.
95591
it depends on your income group..  gooogle it ....check irs   and check selling your home.....it also depends on the time period you owned the home.....\n\nthen i would move to alaska to an area where there is no property tax( areas not in a city or borough) and no state income tax....check out live deals for a home in alaska... you could buy a nice ocean home with some of the money and put the rest in saving or investments  .....south east alaska is the banana belt of the state, it is simalar to cities north of seatle area....
299896
Having your business buy the property will cost you more because you will need a commercial mortgage with higher interest rates. It is easier to get mortgages that are for you personally, or for a multifamily with 4 units or less. Talk to a lender about this and they will give you a good sense of your options.\nIf I you have the means you might consider buying and renovating a house for yourself and moving every two years. Research you market carefully and put ion alot of sweat equity instead of capital. This way you get to pocket the entire profit without captial gains, as long as you declare it your primary residence. You can also look into doing a 1031 exchange if you live there for less than 2 years to delay the tax payments and use the money in your next acquisition.\nAnother path could be to buy a 3 or 4 family with a commercial mortgage and an LLC to protect youself, rent them, convert the whole building to condos, then renovate the units one at a time as tenants turnover happens and sell the condos indiviually if the market is good. Be sure to talk to the lending bank about your conversion plans before setting up the financing.\nI recommend a trip to the library and read as much as possible before doing anything. Others have done this before, and they share the experience through books.\nGood luck!!
241359
Unfortunately, you can only roll it over into another investment property (Like-kind exchange)  Applying it to your residence will not work.  You have sixty days (before or after the closing) to identify another property and 180 days to close on it.  If you held the property for investment (say yes) and held if for over 12 months, you will pay tax on it at the lower capital gains rates. If you held it for less than 12 months, it is considered ordinary income and is taxed at your regular rate.  If it is less than a year, see if the buyer will wait until the year is up.  Give them soem money back at closing to compensate them for waiting.  It could be worth your while.  To see what the tax might be, use your tax software to estimate what your tax would be.  Sorry to hear about the medical problem, I hope everything works out.  Also, ANY profit is a good profit!!!!!
330268
The tax situation you are referring to involves the capital gains tax on your profit (if any). You must live in the home a total of two of the past 5 years to get the exemption. This allows you to not pay tax on the first $125,000 worth of profit on your home.  There are certain exceptions to the 2 year rule, that may allow you to exclude a percentage of your profit in specific cases. \n\nRemember your profit is the difference between the net (after selling costs like real estate commissions and closing costs you pay for your buyer) and your cost basis for the house. Your cost basis is the original purchase price, plus the cost of any improvements to the property.\n\nConsult a tax professional for more specific information.