Check my numbers, thinking of eating the tax
Lived in it from2013 to 2015, then rented it out until 2018 at which point I moved back in for 2 years. Total time rented, about 4 years, total time lived in, about 4 years.
Bought 145K plus 5K closing costs, sold 416K.
Put new roof and water heater on for 14K to adjust my basis
25K selling costs.
10K depreciation.
By my calculations I have 217K that I divide by .5 to get 108.5 that I owe capital gains and depreciation recapture on, correct?
(145+5-10+14=154K) then (416-25-154 = 217) then 217/2 = 108.5
I make 308K a year W2 income. I'm expecting to pay 23% capital gains with the Obama care surcharge. Worth it or not? After 10 years of being a landlord of multiple properties, I've considered getting rid of them starting with this one rather than 1031 exchanging anymore. The have nots want what we worked for, cancel rent, live for free, but landlord you must pay and fix things in this 800K house you provide me for free....