Depreciation Recapture When Selling a Former Rental

Depreciation Recapture When Selling a Former Rental

If your home was ever a rental property — even for part of the time you owned it — selling it can trigger a tax most sellers of a straightforward primary residence never encounter: depreciation recapture. Short answer: Depreciation recapture requires you to pay tax on the depreciation deductions you claimed (or could have claimed) while the property was a rental, even if the sale otherwise qu ...

1031 Exchange Basics for Sellers Who Also Own Rental Property

1031 Exchange Basics for Sellers Who Also Own Rental Property

If you're selling an investment or rental property — not your primary residence — there's a tax strategy worth understanding before you list: the 1031 exchange, which can defer capital gains tax entir ...

Do You Get a 1099 When You Sell Your House?

Do You Get a 1099 When You Sell Your House?

Closing day comes with a stack of paperwork, and sellers are often surprised to learn a tax form might be part of it — even when they don't expect to owe any tax on the sale at all. Short answer: ...

Property Tax Proration at Closing: Who Pays What

Property Tax Proration at Closing: Who Pays What

Property taxes don't stop accruing just because you're selling mid-year — and untangling who owes what for the months before and after closing is one of the more confusing lines on a seller's closing ...

The $250K/$500K Home Sale Tax Exclusion, Explained

The $250K/$500K Home Sale Tax Exclusion, Explained

There's one tax rule that matters more to most home sellers than any other single piece of the tax code: the home sale exclusion. It's the reason the overwhelming majority of people who sell their pri ...