Time limit in moving

**Tumbleweed36** · 06-17-2009, 08:04 AM

Hello,

We moved to a new subdivision one year ago and live in Indiana. We had lived in our older place about twelve years, so had no tax liability when we moved and did not have to report the issue with a 1040A form.

We DO NOT like the subdivision and would like to sell and move to another one nearby which is much nicer (not a bunch of kids, we are older) for our place in life.

My question, what kind of tax liability would we encounter tax wise if we sold our present home after living in here only a year?

**REITrainingWhse** · 06-18-2009, 07:52 AM

Originally Posted by Tumbleweed36

My question, what kind of tax liability would we encounter tax wise if we sold our present home after living in here only a year?

Look into a 1031 Exchange (aka Starker Exchange; ) you should not have any tax burden if you follow the rules. Look up a local real estate attorney or title company to discuss your options. It is a pretty simple process.

Later!

**HouseHunt** · 07-23-2010, 01:46 PM

Chances are after only one year your property value has not risen a lot. You would only pay taxes on the profit portion of a property. By the time you pay your closing expenses then you probably won't make much if any.