topic Re: Second home cost basis in Get your taxes done using TurboTax

Second home cost basis

SW29 — Wed, 12 May 2021 23:04:40 GMT

Can I use a 2020 appraisal to determine the cost basis of a second home I sold in 2020, in order to determine cap gains? Or am I require to calculate the cost basis using purchase price + improvements. The second home was not rental property, nor my primary residence. Thank you.

Re: Second home cost basis

Anonymous_ — Wed, 12 May 2021 23:16:31 GMT

@SW29 wrote:

Or am I require to calculate the cost basis using purchase price + improvements.

If you purchased the home, then you need to use the purchase price plus improvements as your basis.

Re: Second home cost basis

SW29 — Sat, 15 May 2021 18:37:38 GMT

Thank you for your answer. This was my view as well, but I wanted a 2nd opinion just so I was certain.