Home Sale Tax Exclusion on a property with multiple owners

[Account Closed]

Hello,

If I own 25% of a house that has $1,500,000 capital gains (i.e. bought for $500,000, sold for $1,500,000, my portion of the gains is $375,000), how does the home sale tax exclusion work? Does the $500,000 exclusion only apply to the family that is currently residing on the property, or is it shared amongst all owners?

[Steve Vaughan]

Is the true capital gain $1.5M? In your example it's 'only' $1M, putting your portion at $250k.

Well done either way!