Selling a property and confused with capital gains

[Raza Rizvi]

Hello fellow investors. 

I had a question. I am selling an investment property and wanted to understand capital gains correctly. When I purchased the property I put down 25% downpayment of my own money + closing costs. 

Then came closing costs for the sale of the same property along with realtor commission. 

Question is will I pay capital gains on it all or just what is left after all the deductions mentioned above? 

Also wondering what to do with the money - 1031 exchange or take advantage of the new tax law with opportunity zones. 

[Dennis Maynard]

I can't answer opportunity zones.  The regulations are still forthcoming.  Frankly, I'm still figuring it out myself.  It really depends on how much you are playing with and what your goals are.

Capital gains =  Sale Price - Purchase price - cost of acquistion and sale - improvements 

If you are 1031, you don't need to concern yourself right now with it.  Just use the formula above for a general guideline.