Selling an investment property on a short sales but am required to sign a promisary note for the difference, approx $50k, am I amble to claim as a deduction on my federal taxes?
2007-05-04 07:17:14 · 2 answers · asked by Larry 1 in Business & Finance ➔ Taxes ➔ United States
No.
The gain or loss is calculated on the difference between what you sold it for and what you bought it for. What you owe on it has no bearing.
2007-05-04 07:56:20 · answer #1 · answered by Wayne Z 7 · 0⤊ 0⤋
I've heard many stories where investors of tax lien have made great profit, but You will have stay with the property for 2 years before selling it if no one has tried purchasing it within the 2 years. If some one happens to purchase then you will just get the money you paid in taxes back. Short sales are better to invest in my opinion, because you can be successful in making triple the amount back. Many people have made a lot on short sales in this depressing market.
2016-05-20 05:47:03 · answer #2 · answered by ? 3 · 0⤊ 0⤋