If I know I'm going to have capital gains , would it be best to spend the money that's going towards tax on the gain or spend the money on capital improvements to bring up the cost basis?

This does not count the numerous local joints that have opened.

Department of Treasury with usc exceptionState Tax LienLien by USA or Dept of JusticeUS Department of StateOther Federal AgenciesFrequent Superior Foreclosure-Liens:Code Enforcement for debris removal or mowingDemolition or Environmental Based Liens State child support lienBoard of County Commissioners for special assessmentsUtility LiensWater/Sewer Delinquency (only in selected states)County (and/or School/Township) for unpaid taxesCity for road improvements, maintenanceHere are some of the judgment and liens that will be wiped off from the property (not the borrower who lost the title) if the lien holders were properly notified and "had the right to bid on the property at the auction":2nd and junior position mortgages, such as home equity loans, etc...Credit Card Judgments recorded after the foreclosing mortgage Personal Judgments recorded after the foreclosing mortgageMechanic's Liens recorded after the foreclosing mortgageOther Judgments outside of the ones listed above  

Right after you close on an improved property get an insurance policy that will protect you if there is a loss.  

They can by taking title WITH a real buyer, privately and jointly or in a business entity, or by buying using seller  financing, close and then sell paying off the seller financed note.

Im now prepping my computer bag with lease option contracts, purchase and sale agreements, joint venture agreements, and any other contract that I may or may not use in the future..

Just like a regular loan they sent an appraiser to give a value "as is" and an ARV based on the improvements I told them I would do.

Turn our Johnson City house into a rental, buy a house in Charlottesville.All the way, I have made improvements and treated these as my own homes when we lived there, but kept an eye for future rental.  

@James CannonHi James, Find a rental that you like and try to get a ROFR right of first refusal and a lease If it's a really great place pay top market run and take care It Do not pay to improve the property unless you buy the property The best way to buy the property is a note and a mortgage- DOT I would not buy it on contract for deed 

Right now, given the general improvement of Real Estate in the last 5 years, you could easily have someone with years of experience, a track record of success, but zero clue how to handle a down turn in the economy and no exit plan if things turn south.