Hello
I bought a house in 2012 for $155k, and sold my home end of November 2021 for $321.5k
I understand this is well within the $250k maximum, so I shouldn't be taxed on the ~$160k profit, but my question is in regards to the prep work for the house, the advertising, and the work done on the home to get it ready for sale.
Example:
- I spent $600 having a professional photographer come in and take pictures. Another $250 for a website to list it (I sold it myself, for sale by owner)
- There were a list of things the buyers insisted on me doing before they would purchase the home - painting walls, changing fixtures, etc. This might sound small, but it totaled several thousand dollars in the end. Are these changes, repairs, modifications, and other contracting work tax deductible? For labor and parts or just parts?
I'm assuming that those expenses would reduce the capital gain on the house sale, which in my case, being <$250k, is a moot point. But just wanted to be sure. Obviously if it's possible to get an actual deduction for some of these home improvements (which were made within 6 weeks of the sale), that would be great
Also on a slightly unrelated note, i got my 1098 from the mortgage company, and it has interest paid, but not property taxes. I'm assuming this is because since property taxes weren't due, I didn't pay them, HOWEVER looking at the closing statement, i paid ~$5000 at closing toward property taxes. Can I deduct that amount? Or do the new homeowners (buyers) get to claim the full property tax for the year on the home?
Thanks so much!
