Viewing a single comment thread. View all comments

Hodgkisl t1_iy4ogwx wrote

Capital gains does not apply up to 500k if gain for a married couple to primary residence sales if a replacement home is purchased.

Edit: looks like you no longer must buy a new home, any primary residence sale is eligible if you lived in it for 2 years.

1

Northstar1989 t1_iy4ox3a wrote

If there's a difference in prices, due to moving to a cheaper area?

0

Hodgkisl t1_iy4pr0u wrote

Please see my edit, you no longer must buy a new home for primary residence sale. I believe you used to have to buy another.

Also fun is with investment property you can 1031 exchange and avoid any amount of capital gains indefinitely.

2

Northstar1989 t1_iy6z92p wrote

That's.... problematic.

Clearly we need to fix those tax laws so millionaires with 5 investment properties can't avoid taxes forever

1

Hodgkisl t1_iy7q18z wrote

The 1031 exchange has helped many become rich, its a huge distortion in the real estate market.

2