Quote:
Originally Posted by Rose Ann Vinci Igoe
Dear friends of mine pretty much did the same thing you are thinking of doing now. Bought and sold within 7 months (they had health issues). They sold their house very fast and it almost doubled in value. Prices are going crazy now. Also, I am positive, unless the rules have changed, that as long as you bought another house Equal or higher than the amount you sold your house for, .... You will not be charged capital gains.
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You must live in the house as your primary residence for 2 of the past 5 years to avoid the capital gains tax. Buying another house doesn't help. Also, if you sell the house within one year of buying, the gain would be taxed at your ordinary income tax rate. Those rules have been in effect for many years.