TomD8
Level 15

Deductions & credits

@Fred McGovern --

Since a gift of equity is tied to the sale of a single home, not sure how you would give two gifts of equity on the same property.

 

@vandana1955 --

Yes, a gift of equity reduces the buyer's cost basis in the home, potentially increasing the buyer's capital gain when they eventually sell the property.

**Answers are correct to the best of my ability but do not constitute tax or legal advice.