Selling a vacation home is going to take a little more energy than selling a primary residence because the two are taxed so differently. The process becomes even more complicated if sellers generated rental income during their time of ownership. What are the tax implications of selling a second home? To understand the full implications of a sale, sellers should know the basics of capital gains, capital losses, and depreciation before putting the home up on the market.
For informational purposes only. Always consult with a certified tax expert before proceeding with any real estate transaction.
Capital Gains Tax: How It Works
How does capital gains tax work? A capital gain refers to the total cost of appreciation from the time the asset was…