How Do You Sell Investment Property For Profit?
The whole concept of buying investment property is to make a profit. If the property has been consistently depreciated, recapturing that depreciation will add to your taxes, and you should account for that. Follow the steps below to make a profit on your property. Find an area where property is rapidly appreciating, or could soon be, due to new developments in the area. Choose the ugliest house in the best area. You want to be able to improve on it to increase the value. Calculate the costs involved with the sale of the property. Add this amount to the investment you’ve already made and the amount of tax on any recapture of depreciation if you have chosen to rent for a while. Increase the curb appeal of the property through minor, inexpensive repairs that create a good first impression. Inexpensive landscaping, such as banks of flowers, contribute greatly to curb appeal. Decide if you will hold it over a year to change the taxable incident to long-term capital gain. The tax savings are
