capital gains taxes and rental properties?
have a modest rental property in an area that has appreciated very
nicely in the 15+ years that we've owned it.
There's no way we'll ever "live there for 2 of the last 5 years", which
is, I believe, a way to avoid suffering huge capital gains taxes.
I hear there is also some kind of "starker exchange", that if you sell
and use the proceeds to buy a similar property, you again can avoid
capital gains.
But, how much capital gains tax am I in line to pay in the first place?
25% of profits? more?
-A maximum of 15% of the net gain from the sale. Since this is a
business property (you have been deducting costs, yes?) don't forget
about recapture. Read up on it. You might want to consult a tax
attorney or a financial adviser. I am neithe