Seller Tax Liability

[Eric Cunningham]

Wholesalers,

How do you explain to the seller the fed/state tax liability that comes with the sale of their home (assuming it's a second home - not their primary residence)? Since most sellers are hoping for a quick cash deal, I would think that many would likely be unaware of the tax liability they would soon face at tax time. 

How do you approach this with the seller? Is this often problematic for you?

Thanks!

[Bryant Brislin]

I tell them they should talk to their CPA or tax preparer person to confirm what their tax liability will be.