Short Term Capital Gains
Hello BP Community. I’m kind of in a weird scenario here and I’m looking for a little direction.
Six months ago my wife kids and I moved out of our owner occupied duplex and purchased our second property single family “forever home”. As it turned out, things just weren’t going as we planned at the new place and we decided to jump ship and sell the place to save face. In the meantime while living here, we fixed a ton of issues, remodeled the bathrooms prior to listing our place last weekend.
we accepted a very generous offer that we will come out ahead on.
That being said, I know short term capital gains taxes are in play, and I’m wondering how I can reduce these taxes as much as possible (legitimately). Given we purchased the home 6 months ago, is the down payment in play as an expense? How about putting the money from the sale into my duplex that were moving back to? If there are any words of wisdom or advice you guys would have for me to take the smallest hit on these short term gains, please respond here or feel free to DM me to talk more about your experience!
Thank you all for your help.