Home Buying in 94560>Question Details

luve, Home Seller in Newark, CA

Should I sell my home this Summer or wait until 2015?

Asked by luve, Newark, CA Wed Jan 1, 2014

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Answers

26
Hi Luve,

This type of planning requires an in-depth knowledge of your financial status and long-range goals. You may also have to subscribe to a certain belief regarding what will happen in the future.

The Realtor® Code of Ethics prevents Realtors® from providing legal or tax related advice because these topics lay outside the scope of a real estate license (Article 2 & 13). Therefore, I would highly suggest you seek consultation with a tax advisor/CPA

If you are already leaning towards selling you may want to scan these links to get a feel of the tax bite:

The IRS's "Ten Important Facts About Capital Gains and Losses"
http://www.irs.gov/uac/Ten-Important-Facts-About-Capital-Gai…

You might want to also review "Sales and Other Dispositions of Assets".
http://www.irs.gov/pub/irs-pdf/p544.pdf ... and CA will take a slice as well:

"Topic Index for Tax Forms and Publications".
Source: https://www.ftb.ca.gov/forms/Topic_Index_for_Tax_Forms_and_P…

In CA, the MAXIMUM combined Fed/State Cap gains tax rate can be as high as 33% (#2 in the world for the highest max Long-term Capital Gains Rate).

-Steve
2 votes Thank Flag Link Fri Jan 10, 2014
Wait till 2015, unless you have to sell. When your ready to sell just make sure the timing is right.
1 vote Thank Flag Link Sun Jan 12, 2014
Hi luve, unless you have no choice you should wait until you have lived in the home for at least 2 years. Then capital gains will not be a problem unless you net more than 250,000. Dawn
Web Reference: http://DawnRivera4Homes.com
1 vote Thank Flag Link Fri Jan 10, 2014
I agree as well. Good advice Dawn
Flag Fri Jan 10, 2014
I agree
Flag Fri Jan 10, 2014
Hi Luve,
I live in California and own a house in Broward County, Fl, its been a rental for the past 5 years. Now my tenants are leaving and I'm wondering whether is a good time for me to sell and buy in Ca, or keep on renting for one more year.
Would love to hear ideas!
Thank you,
MM
0 votes Thank Flag Link Wed May 27, 2015
If you have not sold yet. This is the best time to sell.

Suzanne Bakhtiari
01902489
Coldwell Banker
(650)279-8907
0 votes Thank Flag Link Tue Jan 6, 2015
I checked the Calif. Assoication of Realtors website and it says;

Effects of Real Estate Transactions: The PPACA does not create a sales or transfer tax on real estate. However, starting January 1, 2013 there will be a 3.8% tax on unearned net investment of individuals with an adjusted gross income of $200,000 or more (or $250,000 for married couples filing jointly).

[ the complete story: http://www.car.org/newsstand/news/healthcare ]


I think the key wording is "individuals with an ..income of 200K or more"


Hope this helps,
Brian
0 votes Thank Flag Link Mon Jan 13, 2014
Don't forget to factor in the Obamacare 3.8% added tax to your deal.
0 votes Thank Flag Link Mon Jan 13, 2014
That is a rumor- please look it up
Flag Fri Aug 22, 2014
If it works for you to sell now...there's no time like the present because the future brings no assurances with it.

Bill
0 votes Thank Flag Link Fri Jan 10, 2014
Hi all, I've just bought my house for a year. Capital gain tax is my concern. I am torn between now or early next year. The reason of selling is that I am single, I want to try new thing till I get old.
0 votes Thank Flag Link Fri Jan 10, 2014
I'm thinking of keeping until two years also.
Flag Fri Jan 10, 2014
I will keep till two years. I love house hunting.
Flag Fri Jan 10, 2014
Are you still working or "retired"? Why not keep your house until the two year period for holding the property lapses and just take extended trips?
Flag Fri Jan 10, 2014
Hi Luve,

I completely understand the desire to go out and see the world. Are you planning on renting when you get back? Or are you going, "where the wind will take you" and seeing where you land? If the first I would recommend waiting and planning so there is a place for you to stay when you get back. If the second CAPRE' DIEM. As far as capital gains is concerned. It depends on how much you owe and what you sell it for. The easiest way to explain it is, if you have been living in for more than 2 years, you will get a $250,000 credit, minus what you sold it for. The way I understand it, is if your house is worth $400,000 and you owe $200,000 then you would get the entire $200,000 back because it is less than $250,000. I hope this makes sense and that you make the decision that will bring you the most happiness. Again, I'm here if you need to talk this through. My number and information is on my profile but if you've lived in Newark, you've probably driven by our office.
Flag Fri Jan 10, 2014
Renters are my big concern. I am not interesting of renting my house since it was paid off. Hayward, Fremont, San Jose are my favorite areas for future home.
Flag Fri Jan 10, 2014
You would be better off renting if you intend to continue to move frequently. Each time you buy/sell you incur transaction costs. You might be really interested in checking out http://www.airbnb.com as a way to experience multiple areas of the US & world.
Flag Fri Jan 10, 2014
There is no time like the present...
0 votes Thank Flag Link Fri Jan 10, 2014
Luve:

So far we haven't seen a response from you - can you clarify so we can provide better answers to your question?
0 votes Thank Flag Link Fri Jan 10, 2014
That's a pretty broad and open ended question. If there's a legitimate reason to sell you just list it and sell it. If you've found another home you wish to purchase then sell the one you have and move on. The market is good and inventory is moving in most areas so why not?
0 votes Thank Flag Link Wed Jan 8, 2014
Summer will make sense.

Good luck
Ruth
Web Reference: http://www.ruthandperry.com
0 votes Thank Flag Link Thu Jan 2, 2014
No one can predict the future and what the market will be like then. I think that this decision should decided according to yours and your family's needs.. You might consider finances, goals, reason for selling,etc.

The future is uncertain, all you can do is make the best decision possible with the knowledge you have today.
0 votes Thank Flag Link Thu Jan 2, 2014
Why wait if you are ready now?
0 votes Thank Flag Link Thu Jan 2, 2014
No one can predict the future and what the market will be like then. I think that this decision should decided according to yours and your family's needs.. You might consider finances, goals, reason for selling,etc.

The future is uncertain, all you can do is make the best decision possible with the knowledge you have today.
0 votes Thank Flag Link Thu Jan 2, 2014
Hi Luve,

I have lived in Newark for more than 30 years and Rainbow Funding has been here for that entire time. Last year we sold 4 homes in Newark and out of the 8 homes for sale in Newark this year we have helped 2 families with their decision to sell. Everyone is right that it depends on your current situation but if you are sure that you are going to sell you should definitely check on your options with a Real Estate Agent in the area. Many of the agents who replied to you here are good people and I have talked or worked with several of them in the past. Consider the positives and negatives and see if selling will help you get where you want to be. Always here to help. Dick Modzeleski Rainbow Funding.
0 votes Thank Flag Link Thu Jan 2, 2014
Hi Luve,

As everyone has mentioned - it all depends on your situation.

Although it's too early to see what 2014 will bring, it will likely be higher interest rates over the next several years. Spring time is often better than summer, so you should start your interviews and research within the next four weeks if you think you are ready for a 2014 move. Sitting down with a Broker and discuss your situation would be great planning.

Good luck with your decision and it's not too early to start asking questions - great job.

Brian
0 votes Thank Flag Link Thu Jan 2, 2014
No one here can give you that answer. It is all about your personal situation. Things like if you need a bigger place or can you not afford the home are what is going to determine this.

Alex Greer
Loan Officer
NMLS #1056079
http://www.TheMortgageOutlet.com

408-352-5147
AGreer@TheMortgageOutlet.com
0 votes Thank Flag Link Thu Jan 2, 2014
Although no one knows for sure when the market will change, if you are looking to maximize value I would sell sooner. Interest rates are bound to go up and that will invariably put downward pressure on prices.
0 votes Thank Flag Link Wed Jan 1, 2014
To really answer this question, we need to know a couple of key things:

1. Why do you think you want to sell this Summer instead of, perhaps, now?
2. What has given you any idea that waiting until 2015 might be a better idea?

If you can respond to these two questions, we can do a better job of addressing your question.

Thanks in advance.
0 votes Thank Flag Link Wed Jan 1, 2014
This will likely depend on your personal needs and level of motivation. In the event you are waiting for an improved market and better opportunity....there may be no time like the present, since there are no guarantees that waiting would provide an improved opportunity.

Good luck,

Bill
0 votes Thank Flag Link Wed Jan 1, 2014
Hi Luve,

I agree with Dean/Dawn/Christopher; there's not a deep enough understanding of why you may or may not be selling your home.

I believe it would be in your best interests to sit down with a Realtor® and share all of your goals, needs, and wants. By doing so you should be able to arrive at a "Go/No-Go" decision based on your goals and current situation. To do otherwise would be a disservice to yourself and/or your family as selling a home is always a significant financial move.

In addition, I would not necessarily wait for summer to sell; a lot can happen over the next six months and while there are traditionally more Buyers/Listings during the summer months there is also more supply; and therefore, competition regarding the sale of your home.

This is probably a decision you should make sooner than later:
"The Top 4 Challenges Buyers & Sellers will face in 2014!" http://tinyurl.com/lg2n2v5

-Steve
0 votes Thank Flag Link Wed Jan 1, 2014
It will depend on when you bought the home, how much you put into it or owe, and what your current market looks like. Have an agent guide you as the season approaches.

Chris
0 votes Thank Flag Link Wed Jan 1, 2014
Hi as stated below it really does depend on your situation. But as home values are currently rising, and (of course) barring any giant change (for the worse) in the economy, your net will be higher next year. Dawn
Web Reference: http://DawnRivera4Homes.com
0 votes Thank Flag Link Wed Jan 1, 2014
It's important to understand your personal and financial goals, then decide from there. It's easy to sell once "everybody is doing it" and that might happen in 2015, but right now that is not the case, but it still might be right to you to sell this summer. It's a big question so it's hard to provide an answer to you that's not... pithy and terse. This is a question better discussed in person with somebody whom you trust very much.
0 votes Thank Flag Link Wed Jan 1, 2014
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