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Updated about 5 years ago on . Most recent reply
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What costs can I add to my cost basis when selling a property?
Trying to decide if its worth the 1k fee, and the hassle of beating the 45 day window to find a replacement property that the 1031 rules call for....
Bought the property for 112k, and it will sell for 148k
I am crediting the buyer back 6k in closing costs
My agents commission will be about 7k
I have spent about 17k in rehab costs and repair costs since owning this property over the last two years.
Can I deduct all of these costs when against my proceeds when I do my taxes for a conventional sale? I read somewhere that if I wrote off part of those rehab costs in a prior year I cannot include them when the property sells. I also read that I have to "give back" the depreciation write offs. Anyone have an idea whether either of those are true, or whether we can deduce agent commissions to proceeds for regular sales?