gain on sale of underwater rental property

[Account Closed]

Hi all- My tenant has just moved out and I would love to sell one of my rental condos.  

I bought in 2007 as my primary residence for $190k

I converted to a rental in 2013 with an adjusted basis of $70k

I can now sell for $140k and get out of the mortgage, but I understand I will have a gain ($140-70k plus depreciation recapture).  

I would love to do an LKE, however since the mortgage is appx $145k I actually won't get any money out at closing.  

Any ideas or options for me besides paying a huge tax bill that I'm missing? 

Thanks

[Alex Deacon]

@Account Closed if you want to truly become successful you need to have a good team. one of those team members is a great CPA. I now always consult with my CPA before any sale or purchase of significance. They will direct you on the right path. The challenge in this business is not only making a profit but keeping it. And I mean from uncle Sam. Your best advice from me is consult with a CPA who knows real estate and comes referred by a few different investors.