The debt isn't important, the profit is:
Are you upside/down; probably not in L>A>
Without dispensing tax advice; (you should take tax questions to your tax man)
You wouldn't owe anything on the sale of your Principle Residence, if you reinvest it within a specific period of time. I think this related to State and Federal; but you want to check me on that, since I am not giving you tax advice.
Good luck and may God bless
Gail Mercedes Cole
Oh, you are speaking of Capital Gains Tax. Your marital status is a factor, as well as if you are owner occupant of the property.
It's best (in my opinion) when looking for tax advice, to speak to a person who specalzes in taxes, so that you are sure your information is up to date and accurate.
if and when you are looking to find out more about value of your home, contact a realtor.
323 300 1143
Remember when they calculate what you own, it is the sale price minus the price you paid, minus any loans, liens, and fees associated with selling, and also minus any upgrades costs you incurred. Your accountant or tax professional should easily be able to answer this question more in detail for you.
Have a wonderful day,
Heather Paul, Realtor
NYS Associate Broker
Keller Williams Landmark II
Serving Queens, Brooklyn & Nassau
Good Luck and Dare to Dream.
Shel-lee Davis, QSCÂ®
Certified Distressed Property Expert â€“ CDPEÂ®
Short Sale & Foreclosure Resource â€“ SFRÂ®
Certified HAFA Specialist â€“ CHSÂ®
Your Real Estate Consultant for Life
RE/MAX Palos Verdes Realty
What is the value of your home? a real estate professional will be able to provide you real estate valuation.
Please contact a Real Estate Professional who will better assess your situation. A tax expert is another source.
323 300 1143
Every situation is different and the outcomes vary with each situation.
YOU MUST CONSULT AN ATTORNEY OR FINANCIAL ADVISOR to determine the consequences for any action you may take.
If critical importance is knowing if you are:
1. Selling your home and bringing cash to the table to pay off the balance
2. Selling your home for a profit
3. Selling your home for less than the balance of the mortgage (short sale)
As you may be aware, if #3 is your situation, the amount that may be forgiven by the bank will be stated in a 1099 as unearned income. This amount will reflect the highest possible amount the bank can create by adding penalties, late fees, legal fees, admin fees, baggage fees, lunch fees, parking tickets, RNC donations, and if they can, they'll slip in a few bucks for the off-shore call center. Working with your attorney or financial adviser who will have intimate knowledge of your situation will most likely result in a favorable outcome.
From your question it can not be determined what your situation is. Seek guidance from a professional.
Feel free to call me or email me anytime.
Have a great day,
Heather Paul, Realtor
1. Do you owe more on your home than it is worth & will you be selling as a Short Sale?
a. Is this your Primary Residence or an Investment property?
2. Do you have equity & are you concerned about a Capital Gains Tax issue?
Email me directly, I don't look back on this same Trulia thread for answers posted after mine.
Realtor Since 1996
Main Street Realtors
There is a personal exemption of $250.,000 for one person, for husband and wife, $500,000, however, how the values are computed should be reviewed (improvements you have made over the years).
Talk with a tax professional for tax advice.