Guys,
I am thinking about selling the 1614 sq.ft tri-level condo i bought last year. Some things i want to know before i would want to go through the ordeal are:
1. As per real-estate IRS rules, any property sold within 1st two years of its purchase will NOT incur any taxes on the sales price?
Example: i bought it for 550k and now sell it for 600k, then the whole amount remains non-taxable?
2. Considering IR inventory is at an all time low & in the neighborhood i bought, all new units are pre-sold out, i feel that it may be the right time for me to sell. The 1250sq. ft condo's now in there are being sold for 560ish.
3. What other scenarios do i have to consider other than 6% (selling costs)? I am not looking to make a huge profit out of this, somewhere north of 25-30k ++ would be nice to have.
4. The bigger question still remains unanswered for me about what i would do with the cash once sold, as market is at an all time high to buy right now & i am not into stocks/mutual funds etc. To let it stale in accounts doesn't look like a smart viable choice. I am still visioning 2019 to be my year for the 1M or 900k single family home purchase.
5. Would keeping it as rental at 3.75 interest rate make more sense than selling? My original plan has been to keep it as-is and bring additional money for SFR purchase in 2019. 8)
6. I just paid a monster $9000k property tax bill for the full year, so i am still not sure how much would IRS give back to me considering i would certainly claim all mortgage interest i paid along with rental agent commission i paid to get it rented out etc. Would being a military household give us any special tax benefits?
Thank You all for your insights
I am thinking about selling the 1614 sq.ft tri-level condo i bought last year. Some things i want to know before i would want to go through the ordeal are:
1. As per real-estate IRS rules, any property sold within 1st two years of its purchase will NOT incur any taxes on the sales price?
Example: i bought it for 550k and now sell it for 600k, then the whole amount remains non-taxable?
2. Considering IR inventory is at an all time low & in the neighborhood i bought, all new units are pre-sold out, i feel that it may be the right time for me to sell. The 1250sq. ft condo's now in there are being sold for 560ish.
3. What other scenarios do i have to consider other than 6% (selling costs)? I am not looking to make a huge profit out of this, somewhere north of 25-30k ++ would be nice to have.
4. The bigger question still remains unanswered for me about what i would do with the cash once sold, as market is at an all time high to buy right now & i am not into stocks/mutual funds etc. To let it stale in accounts doesn't look like a smart viable choice. I am still visioning 2019 to be my year for the 1M or 900k single family home purchase.
5. Would keeping it as rental at 3.75 interest rate make more sense than selling? My original plan has been to keep it as-is and bring additional money for SFR purchase in 2019. 8)
6. I just paid a monster $9000k property tax bill for the full year, so i am still not sure how much would IRS give back to me considering i would certainly claim all mortgage interest i paid along with rental agent commission i paid to get it rented out etc. Would being a military household give us any special tax benefits?
Thank You all for your insights