Do you need to own your home 2yrs or 5yrs to qualify for tax-free capital gains?
916236
Since your father lived in his home 2 years, he will be allowed an exclusion of $250,000 of capital gain from the sale of his house.  He also qualifies for an exclusion because the sale is due to health reasons (you say he needs to move to assisted living facility). \n\n"A sale will be considered because of health if the primary reason is related to a disease, illness, or injury of a qualified person. If a physician recommends a change in residence for health reasons..."\n\nhttp://www.irs.gov/newsroom/article/0,,id=105042,00.html\n\nSince he qualifies due to medical reasons, if he had lived in the home for less than two years, the exclusion amount could be pro-rated.  The example given in the article:  If he had lived in the home only one year instead of two, his exclusion would be 50% of $250,000 or $125,000 of gain.\n\nHe only has to report gain on his tax return in excess of $250,000.  If he itemizes, he should still include real estate taxes, mortgage interest, and other allowable deductions on his Schedule A.  If he realized a capital loss due to the sale of his home, unfortunately, the loss is not an allowed deduction.
834029
=as a CTP, I would recommend renting one out for the tax write offs and would move into the cabin for 2 years and then sell that which will probably be tax free if it is your principal residence for 2 out of 5 years.    So move in as you have 2 years to clean out and clean up.  Happy Thanksgiving.
847026
shouldnt be any so long as you effectively live in one of them until of them are sold.  if you are liable to cgt then you can claim the costs of conversion as well as your original purchase price as the purchase price
1084312
that's a great question - I'll be doing that in two years....Obviously, you can't depreciate primary residence....if your rental property becomes your primary for 24 months in a 5 year period, when you sell w/in that 5 yr period, you get the Capital gains exemption and just lose all the rental deductions you "enjoyed" to date.
434134
See, there are lots of issues which determine the taxability of capital gains under I T Act1961 .You have not given complete detail.\n    Presuming , its a residential property, then first the compuation has to be done by taking the Indexation method . Find out the date of purchase of the residential property and cost as on that date. If it was purchased before 1984, then market value as on 1.4.1984 has to be taken as cost and then indexation has to be applied.\n    This way, capital gains has to be computed. If there is capital gain is there, you have following option\n   1. Purchase /construct a residential house within two years of the amount equal to long term capital gain.\n   2. If you do not want to purchase immediately, but plan to purchase within   3 years, deposit the amount of capital gain in SBI or other bank in Capital Gain Account scheme , before filing return of income.\n  3. Under 5EC of the I T Act, there are capital assets in which if capital gains are invested for at least  three years, then the capital gain is exempt from taxation.\n\nHope your
680339
This question baffles me.  Are you trying to ask what age you must be to BUY a home if you do NOT pay property taxes?  If so, there is no age.  If you buy a home you MUST pay property taxes. I believe you must be 18 years old to enter into a contract of any amount.  Unless you are emancipated by the courts.  I hope this helps, since I'm not sure exactly what you are asking.
227672
Actually, you have to live in the house for two of the last five years. If this is the case, then tax code allows you to keep $250K or $500K if married before capitol gains taxes apply.
94745
Not if it was your primary residence.\nIf it was rental property then you have to declare the gain.\n$10,000 - basis (what you paid for it) + depreciation (basis/27.5 * # of years rented)\nIf it was a second home, talk to a tax pro (not HR Block or another chain)\n\nDick
149330
I dont think you have any time.  If the house was lived in less than two years, you always pay capital gains. Always check w/ your financial advisor or lawyer, but I think the min. is two years.
81022
Here is the specific link you will need:\nhttp://www.irs.gov/publications/p523/ar02.html#d0e1931\n\nYou can exclude up to $250,000 of the gain on the sale of your main home if all of the following are true. \n\nYou meet the ownership test.\n\nYou meet the use test.\n\nDuring the 2-year period ending on the date of the sale, you did not exclude gain from the sale of another home.
88089
Most lenders require a minimum of 2 trades that have seasoned for 2 yrs. If you do not have this then you will have a hard time qualifying for a mortgage. Especially an investment property.
816780
If your father died in 2005 the estate will be exempt for the first 2 million dollars.  You will need to file an estate return which normally requires an attorney and a CPA because they are rather complicated.  Not filing the return will surely complicate things.  If there are taxes due and not liquid assets to make those payment from the estate the estate will need to liquidate some of the assets.  In plain language that means sell some of the property to pay the tax.  The estate can sell it to you or anybody.  If you do nothing the government will take what they think is due.  Generally that is a great deal more than if you file the proper return in a timely manner.
350939
What you are referring to is for primary residences after people have lived there for 2 years... This does not apply in you situation.\n\nWhat does apply is a procedure known as a 1031 exchange.  1031 exchanges allow you to totally defer your capital gains tax by reinvesting the proceeds of your sale into another 'like kind' property.  (like-kind refers to the other property being investment use as compared to personal use).\n\nI'm finishing up the testing on a 1031 exchange site.  The information is real, and many of the test properties are available listings as well.\n\nFeel free to check the site out for the basics on a 1031 exchange.
90899
The basic rule is if you've lived in a home for two of the past five years, you will NEVER have to pay taxes on the first $250,000 of profit ($500,000 if married and filing jointly) when it's sold.
425838
If you have owned and lived in your home for over 2 years then you may be able to exclude from income all or part of the gain.  \n\nHere is the info you are looking for.  \n\nhttp://www.irs.gov/taxtopics/tc701.html\n\nCan also find more info here:\nhttp://www.irs.gov/pub/irs-pdf/p523.pdf
512427
If it was your primary residence for a couple of years, you get the first 250k profit (500k if married) for free on capital gains.  With mortgages, you can only deduct interest payments, and rolling over your property to something of higher value only works for properties that you don't live in personally.
1167428
in some cases you may be committing fraud if you claim a house is a primary residence and then immediately rent it out. Laws very by state but you will usually have to occupy the home for between 6months-2 years for it to be considered a primary residence.