How much tax do you have to pay when you sell your house?

Answer 1

It depends on the amount of profit. Also, you are allowed an exclusion on the first $250K of profit. So, if you profited $275K, you'd pay tax on only $25K. If you profited less than $250K, you'd pay no taxes.

Answer 2

Transfer taxes and recording fees are always due at settlement of any property sale and are captured on the settlement statement. They vary from city to city, county to county.

Regarding federal taxes, if you lived in your home for 2 out of the previous 5 years, and it is your primary residence, then you are entitled to the federal homestead exemption. This exemption states that if you are single, you do not have to pay taxes on the first $250,000 in capital gains; if you are married, that exclusion goes up to $500,000 in capital gains. Nice, right?

If your gains are higher than that and you owned the house for more than a year, you pay long-term capital gains tax rates (which I think run about 15-20%) on the amount over what is allowed by the exemption, . If you owned the house for less than a year, and you made more than the exclusion allows, you pay short-term capital gains tax rates (up to 40%?) on the gain over what is allowed by the exemption. These are federal taxes. State taxes may apply as well.

Answer 3

If you purchase another house within 2 years of selling the old one, you generally don't have to pay any taxes.

Answer 4

You're unmarried. You sold your previous home 13 months ago and excluded the gain. Now you're about to sell your current home, which has been owned and used as your principal residence for 18 months. (You bought it and occupied it for five months before finally succeeding in selling your previous home.) The reduced exclusion available to shelter gain from prematurely selling your current home is $135,417 [$250,000 x (13 months/24 months)].

Answer 5

I am pretty sure it depends on the state you live in, and how much acreage ya have. may be wrong though.

Answer 6

Too much