Hal_Al
Level 15

Deductions & credits

As the other answer indicates, you may not deduct a capital loss on the sale of personal use property such as a 2nd home or vacation home. 

 

I'm of the opinion that most vacant land can be treated as investment property, even a residential lot that you purchased for the purpose of building a 2nd (or primary) home; as long as the property was not actually used for personal use (e.g. camp site, gardening, playground).