This motivation died in 1981 when the maximum marginal rate was reduced from 70% to half that; when homeowners were able to exclude $500k in gains from income, and when 1031 exchanges rules were liberalized and a whole industry popped up making them easy to do. 

Roll that equity into the next property and since it's your primary, you can exclude up to $500k in gain if married. 

List buyers look like they exclude owned in an entity.

If you'd prefer, you can ask buyers and agents to submit offers with a net sale price (excluding commission).Either way, the final closing disclosure (CD) will show both agent's commissions.All the best to you on your sale!

Ironically most who spend on LLC's and overkill Insurance are negligent in their operations, are susceptible to carriers excluding coverage, spend an unnecessary amount of time defending claims, experience insurance premium increases etc. 

Coverage Gaps and Exclusions:Homeowners policies often exclude claims related to tenant-caused damage and other risks unique to rentals.

Would be much appreciated.The renovated unit would command around $2,300 per month in rent, excluding utilities, and is very close to the Elementary and Middle school.

As others have mentioned, you should be eligible for 121 exclusion which will be $500,000.I would factor in the renovations of $400,000 that you spent.If you move back to NZ and then sell the home, you may want to see if that would exclude you from paying NYC taxes since you will not be considered a NYC resident at that time.Best of luck

@Kate McDevitt Asolutely, here's a clearer breakdown with key points to help you make the best tax-smart decision in this situation:If your uncle adds you to the deed before the sale:You inherit his original cost basis ($180K plus improvements).If you sell at $700K, your taxable gain could be over $500K, depending on what improvements can be documented.You won’t qualify for the Section 121 exclusion, which allows homeowners to exclude up to $500K in capital gains (if married, filing jointly) if they lived in the property for 2 out of the last 5 years.Tax impact:Without the exclusion, your gain is taxed as a long-term capital gain, typically at 15–20% federal (plus any state tax, especially if you're in a high-tax state).This could mean a five-figure tax bill, even if your uncle gifted the proceeds.Better alternative:Let your uncle and aunt sell the property in their name and use the Section 121 exclusion to potentially eliminate all or most capital gains taxes.After the sale, they can gift you the proceeds:Up to $18,000 per person (annual exclusion) without filing.Above that, they can file a gift tax return (Form 709), which uses part of their lifetime exemption (over $13 million), so no gift tax is due in most cases.If deed transfer is unavoidable:Keep records of all capital improvements (e.g., new kitchen, HVAC) to raise your cost basis.Understand that repairs and cosmetic updates don’t count toward increasing the basis.Letting your uncle sell and then gifting the proceeds is the cleanest and most tax-efficient strategy.

Does that living space, exclude or include the bathroom?