Possibly yes, but probably no. The fact that the decedent used the property, as a home, is not relevant.
When property is sold, there is usually a gain or loss on the sale. The gain or loss is calculated on the difference between what the property sold for and it’s “cost basis”. Cost basis is usually what the property was bought for. But, in the case of death, the cost basis “steps up” to the fair market value on the date of death. If the property is sold shortly after being inherited, there is unlikely to be any gain. Factoring in the expenses of sale (e.g. real estate commission), there is usually a loss for tax purposes. Losses may or may not be deductible depending on how the property was used after being inherited.
Possibly yes, but probably no. The fact that the decedent used the property, as a home, is not relevant.
When property is sold, there is usually a gain or loss on the sale. The gain or loss is calculated on the difference between what the property sold for and it’s “cost basis”. Cost basis is usually what the property was bought for. But, in the case of death, the cost basis “steps up” to the fair market value on the date of death. If the property is sold shortly after being inherited, there is unlikely to be any gain. Factoring in the expenses of sale (e.g. real estate commission), there is usually a loss for tax purposes. Losses may or may not be deductible depending on how the property was used after being inherited.