maglib
Level 10

Investors & landlords

If you had rented rooms, you would have been depreciating a portion of the home over the life. You would have to see what portion you had allocated as rentals. You actually would have a larger gain as your cost basis gets reduced by the depreciation allowed for the rental portion (Note regardless if you took that depreciation, it was allowable and does reduce your basis).  You would have a gain on the sale related to the investment portion.  

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I am NOT an expert and you should confirm with a tax expert.