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Updated over 5 years ago,
Tax guys please help! Capital gains question
We are going to use a tax professional this year for the first time and need some guidance. We bought a duplex in Spokane Washington in 2015 as our primary residence. We lived there for 10 months and then moved to Ohio to be close to family and new career opportunities (starting full time in real estate rentals). Now we are selling that property as I can make a better return on the money buying and managing it myself rather than paying a property manager. We are selling the property for 230,000 but we are paying $13,800 on closing fees and another $10,000 or so on inspection repairs. I understand the 2 year out of 5 rule, but I’m not sure if I would qualify for any of the special exemptions. There was also a mortgage on the property that was paid off for 95k. Any help would be appreciated. I think it’s too late for a 1031 exchange as I believe the money is in the mail for me. Any suggestions? Thanks!