Gain or loss on Condo that kids lived in

[lsclmmr]

I purchased a condo for my daughter that she lived in for 15 years and when it was no longer needed, sold at a loss.  No rent ever charged or contemplated.

I purchased a condo for my son who lived in it for 4 years and when it was no longer needed, sold at a profit.  No rent ever charged or contemplated.

Since these condo's were not my primary residence, I assume they just become personal assets.  No reportable loss on the daughter's condo but I would have to report a capital gain on the son's condo.

Appreciate any observation...of course I'd love to amend and claim a loss to offset any gain but I think it isn't in the cards.

Thanks

[MinhT1 · Accepted solution]

You are correct.

Your homes as described are homes for personal use, and capital losses are not deductible, but capital gains have to be reported and taxed.

Please read this IRS FAQ for more information.