Capital Gains Taxes vs. Tax Write-offs for Home Repairs

[Jennifer Gardner]

Hi BP community,

I know this is a CPA question but I'm hoping you can cross check my research. I'm trying to figure out how hard I'll get hit by pulling out 50k from my 1031x to make repairs on the home I'm trying to buy. Would the taxes and write-offs cancel each other out? How much do I really stand to lose? Is it worth it? For context, the house I'm trying to buy is in an incredible location, is a beautiful, highly rentable duplex that we would eventually live in and rent one unit of down the road, maybe for forever retirement. The property really feels worth it to me but I don't have the funds to make the repairs without taking it out of my 1031 exchange. I did sell my property for 60k more than anticipated and got the duplex price down to 60k less than I had originally offered and seller originally wanted. I'm just concerned about losing money in capital gains taxes. 

Thanks for your input and insight!