Profile picture for gettoknow123

Selling Rental Home in Atlanta, GA

I am selling my rental home in Atlanta, GA. I am in 25% tax bracket
Purchase price = $215000 in year 2000
Mortgage left  = $80000

Rented from 2009
depreciation taken only one year 2012 for $5000
remodel cost = $15000
commision on sale = $15000


Sale price = 275000.

I am in a dilemma to whether do a 1031 exchange or just sell it and get the money after paying capital gain taxes and then invest on real estate,stocks and cd.

What would my profit be and how much I have to pay capital gain

  • December 19 2013 - Atlanta
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Answers (4)

Profile picture for Sally English
Yea - what Hank said.  Your CPA is the only person qualified to answer your tax questions.  Do ask your real estate agent for a market analysis so you will have an idea of the appropriate list price for your home and an understanding of what homes in the neighborhood have sold for recently.

  • January 30 2014
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I can provide you with info for a 1031 exchange specialist who can help you with that question - [Contact information removed by Zillow Moderator. Please see our Good Neighbor Policy.]
  • December 28 2013
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Based on the facts in the scenario you described, your gain on the sale would be $35,000 and the incremental taxes would approximate $7,500.  Your tax rate on the gain (if he you are single) would be 15% Federal plus 6% state.

There are many issues in facts presented in your scenario that require more scrutiny, but they are beyond the scope of your simple question.

Also, I would not recommend an exchange at this lowest level of taxation.

  • December 23 2013
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That question has CPA written all over it. The last place I'd be looking for advice on something like that would be here!
  • December 20 2013
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