My brother and I own residential real estate that we are selling.How can the capital gains be deferred if on the new property purchased,my brother is not listed?
05355
1 Best answer
SweetieJean
Level 15
Jun 1, 2019 8:37:56 PM
Yiou cannot defer the capital gain, since you are not doing a Like Kind Exchange. A rental cannot be exchanged for a personal residence.
5 Replies
SweetieJean
Level 15
Jun 1, 2019 8:37:53 PM
Is it a rental property?
kimroger
New Member
Jun 1, 2019 8:37:54 PM
Yes. It is a townhouse that my parents originally purchased (my parents continued to live there after transferring title to my brother and me and paid monthly rent).
SweetieJean
Level 15
Jun 1, 2019 8:37:55 PM
and did you do a 1031 exchange for another rental property for which you are the sole owner?
kimroger
New Member
Jun 1, 2019 8:37:55 PM
Thank you. I have not yet completed the purchase for the other real estate property (which I intend to use as my primary residence). I have also not yet signed the contract to sell the current property that my brother and I own.
SweetieJean
Level 15
Jun 1, 2019 8:37:56 PM
Yiou cannot defer the capital gain, since you are not doing a Like Kind Exchange. A rental cannot be exchanged for a personal residence.