As we probably know, flipping income is taxed as ordinary income if performed under an S-corp. 

There are four bedrooms in the main house and then there is a huge finished basement apartment with its own patio/entrance, kitchen, etc.

Alex:Assuming you get $45K, after commissions, holding costs, and taxes you have about a $7K gain (I'm assuming gain from sale taxed at ordinary income) but also get your $31K in capital back for a total of $38K. 

Only new loss would be ordinary loss if other requirements are met. 

One word: LEVERAGEI don't think an ordinary person will find many lenders that will give them money to go invest in the stock market.

If its not an active chimney we put a large patio stone on top.

BTW, profits on stock trading are taxed as ordinary income if you are a trader and capital gains if you're in for the long term.

Your sale proceeds minus all costs, including purchase price, renovations, selling fees, etc are tax at your ordinary tax rates. 

At 10% match, you should politely tell them to take their measly and miserly contribution and place it somewhere... or just stop contributing without telling them how I feel :) Bear in mind that when you finally get around to taking distributions, all of it will be taxed at the then-ordinary rates - unless you plan on not being financially successful, ordinary rates will be higher than capital gains rates.

If it was, there could have been tax deductions for the contributions, tax-deferred growth, and/or zero taxes on the back end.)If you're renting, real estate generates rents (ordinary tax rates), unrecaptured section 1250 gains (up to 25%), and capital gains.