My wife and I are getting a divorce and selling the house we bought for $250k. We closed in June 2023 and are starting to talk to realtors soon. What are the chances we’d make a profit on this house? I know there can be penalties for selling so soon, and I’m not sure what realtor fees might look like. Any advice is welcome. TYIA!
You’re probably going to lose money, tbh.
Realtor fees are typically 2-6%, depending on your agreement. You might lose money on this sale.
It depends on your local market. Profitability can vary greatly.
Exactly. It’s hard to say without more details. Many markets have cooled down.
I’m in Will County, Illinois. We’re also selling some items with the house.
You may face long-term capital gains tax if there’s a profit. However, you might qualify for a 0% rate based on your income.
Divorce qualifies for prorated exclusion of tax-free gains. Hire a competent CPA!
Your profit will depend on how good of a deal you got. Expect to lose money unless the market has changed significantly.
What penalties are you referring to?
Capital gains tax can apply if you sell before the 2-year mark.
If you haven’t used the capital gains tax exclusion in the past two years, you can use it now.
What did it appraise for? What work have you done? There are too many unknowns to determine profits.