Do You Have To Pay Capital Gains Tax On A Home Sale
Video Summary
Do you have to pay capital gains tax on the sale of your home? Well, that depends. The new provisions or the provisions and the internal revenue code that have been there for several years provides that. If you’re a single person and you sell your home and you’ve lived in the home for two of the past, owned and lived in your home for two out of the past five years, you can exempt up to $250,000 of gain. So, if the sale of your home is less than 250,000, the sale is not even reported to the Internal Revenue Service. You may have to check a box that you sold your house. However, if it’s for more than 200 and $50,000, whenever you do your taxes, your accountant will know to exempt the gain. So, you’ll have to show your basis and then exempt $250,000 of gain if you have more than $250,000 in gain.
Yes, you would have to pay capital gains tax. If you’re married and you own this house jointly and have owned and lived in the house for two out of the past five years, the amount increases to $500,000. So, if the house sells for less than $500,000 per husband and wife, then you can, you don’t even have to report the sale. If it sells for more than that amount, you can exempt up to $500,000. And if you have more than $500,000 of gain, you would pay the capital gains tax on any, any gain over and above the 5,000. If you have any question about the sale of your house, give me a call at (727) 847-2288.
- Published in Estate Planning, Real Estate – Selling, Videos
How Do You Avoid Capital Gains On A Sale Of A Home
Video Summary
How do you avoid capital gains on the sale of your home when you sell your home? If you’ve lived in the home for two out the past five years owned and lived there, you can exempt up to $250,000 of gain. So that may avoid any capital gains tax. If you have a larger gain than the $250,000, then you will have to pay capital gains tax on any amount over and above that amount. If you’re married, you can exempt up to $500,000 in gain. And so if your house sells for less and you’ve lived there for two out of the past five years and owned it during that period of time, you can exempt it from even reporting to the IRS. However, if you do have to report the sale, you exempt the $500,000, of gain. And then if you have gained more than $500,000, you must pay long term capital gains. When you sell your home, it’s not subject to a tax deferred exchange that is only for investment property. And it is there’s many times a myth that people evidently this Smith’s been around for 50 years or more that if I sell my house and then I turn around and take the money and buy another house for that money, I don’t have to pay any gains on it. That is simply a myth and not true. If you have any questions, give me a call at (727) 847-2288.
- Published in Real Estate – Selling, Videos
What is a Reverse Mortgage
Video Summary
What is a reverse mortgage? A reverse mortgage is one that you do not have to repay, uh, during your lifetime, uh, unless you sell the property or you, or you move out of the property. So, it’s one that you don’t have to make any payments for. It was set up so that you could keep people in their homes. So senior citizens who could not afford making their mortgage payments or, it was set up so that you could receive periodic payments. And so rather than you’re making payments to the mortgage company, the mortgage company would send you a check every month or every six months or whatever, and you’d receive payments. And that it would then mean the mortgage amount would grow with each payment that you would receive. And that’s the reason why they called it a reverse mortgage in that you would be receiving payments rather than to the party that you borrowed the money from. So, we would be borrowing money incrementally as you go, most reverse mortgages. The parties take the full amount, out as soon as they close on the reverse mortgage. These mortgages become payable upon your death. And or if you vacate the property for a period of six months, it becomes doing, payable, or if you sell the property, there are also a, an adjustable rate interest rate. So ,it’s interest rate wise. It can be a lot more expensive than a fixed rate loan. If you have any questions, we’ll give a call at (727) 847-2288.
- Published in Estate Planning, Real Estate – Selling, Videos
Does A Durable POA Enable The Sale A Home Without The Owner’s Consent?
Video Summary
Does a durable power of attorney enable the sale of a home without the owner’s consent? The answer is yes, a power of attorney appoints an agent to act in behalf of someone. So that person is supposed to act in behalf of in this case, an owner for their benefit. And so they’re authorized by the power of attorney to sign the documents, which are authorized in the power of attorney. They’re usually very thorough if they’re prepared and they’re prepared and would authorize the person and they’re now called agents rather than attorney in fact, to sign in behalf of the owner and the owner has consented by executing the power of attorney and putting their trust in the agent attorney. In fact, you any questions about a power of attorney give me a call (727) 847-2288.
- Published in Real Estate – Selling, Videos, Wills
What are the Seller’s Legal Duty to Disclose Defects on Property or Home?
Video Summary
What are the seller’s legal duty to disclose defects on the property, or home? Many years ago, I’m guessing about 30 years ago, the Florida Supreme court had made a decision in that style Johnson vs Davis. And in that decision, the court ruled that the seller has a duty to disclose to the seller any matters that may materially affect the property that are not readily observable. This has to do with residential real estate property. It does not apply to commercial property or to vacant property, and that there is no duty to make any disclosure as far as commercial property or vacant property is concerned. Also, if you use the standard, real estate contract provided by the realtors in the Florida bar, it has a clause in it that you have a contractual duty also to disclose any matters that may materially affect the value of the property. Many times when you list your property with a realtor, there is a sheet that is attached to it and questions you about various aspects of a home. And that’s an affirmative representation also. So those are the duties that you have. You don’t have to fill out that information sheet, but you do have the legal duty to disclose any matters that may materially affect the value of the property. So if you have any questions about any defects or you wish to have me handle your estate, closings will give me a call at (727) 847-2288.
- Published in Real Estate – Selling, Videos