Can I take a loss on a second home that I don't want to sell? My daughter uses it while she goes to college. Where do I show this loss?

vfwkvb · ‎June 4, 2019

Hal_Al · ‎June 4, 2019

The loss on the sale of personal use property (e.g. primary or 2nd home) is not deductible. It does not need to be reported on your tax return, unless you get a form 1099-S.

xmasbaby0 · ‎June 4, 2019

If you own a second home and you are letting your daughter live in it "rent free" while she is in college, that is not a loss you can deduct on your tax return. Free rent is just a gift you are giving to your daughter, which is not deductible. You can still deduct any mortgage interest and perhaps the property tax you paid for the home in 2018, subject to the cap on state and local taxes.

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Can I take a loss on a second home that I don't want to sell? My daughter uses it while she goes to college. Where do I show this loss?