No. However, some of these expenses may be used to adjust the basis of the property to determine gain in the year of sale. Any interest, points (pre-paid interest) or taxes paid at closing are deductible as itemized deductions.
Sales expenses that can be included in the basis of the property:
- commissions
- appraisal fees
- broker's fees
- legal fees
- advertising fees
- home inspection reports
- title insurance
- transfer taxes or fees
- geological surveys
- loan charges (points) or other fees paid on the buyer's behalf
Sales expenses do not include:
- mortgage payoffs or interest
- home equity loan payoffs
- rent-back costs
- payoff to creditors
- property taxes
- home owner association fees
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