We helped our child purchase a large primary residence in 2020 and all three of us are on the deed. Our child took over all expenses and extra bedrooms were rented to friends. We saw the property as a rental and took depreciation. The renters moved out in 2023 and residence is now being sold with proceeds going towards a smaller primary home for child where there will be no renters. Mortgage will still need us as parents as co-signers. The sale is for $280k with a gross profit of $100k. How should the gain be divided between child and parents on the 1099-S?
