House-hoppers May Suffer under new tax rules

By
Real Estate Agent with CB Select Real Estate at Lake Tahoe - 775.691.3855 - DRE: NV28254 CA01139667

I just received a short version of the Housing package the president recently and part of the stimulus package could reduce but not totally eliminate the tax saving strategy used by home hoppers.  This doesn't affect the vast majority of homeowners, it sure will have some affect on people planning to sell their primary residence, claim the full home-sale exclusion which then reduces or eliminates capital gains taxes, then move to a second or third home owned for some time and convert that into the primary residence.  Then later sell it and again pay little or no capitol gains tax.  In my market this is a pretty common practice, even done by real estate agents.  This will plug a tax loop long looked at by congress.

This will likely complicate tax returns as well for poeple who will convert homes from one catigory to another.  You can find the details in the Wall Street Journal August 6, 2008.  Also go to www.jct.govand look for publication JCX-63-08 dated July 23, 2008.

Posted by

Get The Right Scoop Here!! **** The Best Place To Go for Lake Tahoe Real Estate

 Ken Cash,  CRS

Coldwell Banker-Nevada & California

 

KenCash@TahoeLiving.com

775.691.3855   direct

775.833.6448

www.TahoeLiving.com

Associate Broker

 

Coldwell Banker Select Real Estate of Lake Tahoe

 

P Please consider the environment before printing this.

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the lock to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the folder to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the robot to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Rainer
226,623

Ken Cash

Lake Tahoe Lake Front Homes, Luxury Homes, Condomi
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the airplane to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information