@DXY2021
@Mike9241
here again, I think I must disagree as to the treatment of an inherited home. I think @Hal_Al or one of the other champs has a similar opinion.
basically, if you never use the home for any personal use, then it is an inherited asset, just like stocks, and you are allowed to treat it as an investment property when you sell it. Although your cost basis and selling price are the same, you are allowed to deduct selling expenses, including the real estate commission, and certain legal costs and transfer taxes you might have to pay. That means that even if the selling price and the inherited cost basis are the same, you would be allowed a capital loss equal to the real estate commission and other selling expenses. That could reduce your other capital gains or be taken as a deductible loss on schedule D. Selling expenses that are allowable basis adjustments are listed in publication 523, beginning on page 8.
That may not be a universal opinion, but I have seen it many times on this board from other expert users.
