Mark Kohler explains the capital gains exclusion on home sales: singles can exclude up to $250,000 of gain, married couples $500,000, if you've owned and lived in the home for two of the last five years. Rental properties don't qualify.
How you reduce your capital gains on the sale of a home depends on what type of home and how long you've owned it. So if any of you are selling your primary residence, your personal home, and you've owned it two out of the last five years, or held it at least two years, then you can sell it tax free up to 250,000 of gain if you're single, 500,000 of gain if you're married, and then in two years you can do it again. So every two years you could sell your personal residence and not pay any tax or shelter, any income up to 250 if you're single or 500 if you're married. Now, if it's a rental property, there's no exclusion like that. You're going to pay capital gain on the gain.
The secret to managing your family's future #financialfreedom #estateplanning #shorts
Moving Property to an LLC: What They Don't Tell You #realestate #investing #tips
