As for myself, I would have that money in a special account, ready to submit proof of funds with my offer when I find that new property. Depending on how long in your estimation that will take you should invest your money commensurate to have liquidity and access when needed.
ALL buyers have access to multiple listed properties. You have to compete with many dozens of other buyers.
BUT....did you know that there are a lot of people who want to sell their homes and are not yet listed for sale? If you hire an agressive buyers agent who cold calls sellers,, you might just be able to find the perfect, non-listed home and beat the competition...Contact me and I will explain how this can be done.
If you have a gain from the sale of your main home, you may be able to exclude up to $250,000 of the gain from your income ($500,000 on a joint return in most cases).
- If you can exclude all of the gain, you do not need to report the sale on your tax return.
Congratulations on the Sale.
That's a great question.
According to Turbotax, here's the lowdown on tax consequences of selling your home and not re-investing immediately:
"If you live in a house for two of the previous five years, you owe little or no taxes on its sale. Knowing the tax laws can make a considerable difference in the tax picture when you sell a building, whether it?s your residence or a property that was previously your residence."
That being said, there are limits to the profit that is not taxable.
Oregon tax laws follow federal tax laws with regard to property sales, so because I am not a tax advisor, I would recommend that you contact a CPA to make sure that you are getting the best advice that applies to your personal situation.
If you would like help with your home search, of course, I'd be happy to help you so you don't have to concern yourself with tax consequences.
Broker at Knipe Realty NW