Real Estate Matters with Tim Bro
Tax Season is Upon Us
Conversation with …
With tax season upon us, Tim recently reached out to his CPA, Tam Dang and had a conversation regarding how the 2018 Tax Cut and Job Act affects real estate:
Here are a few noteworthy topics worth sharing
- Mortgage debt including home equity line of credit which is used to acquire, construct or improve a qualified residence is capped off at $750,000 for new loans.
- For real estate investors, the deferral of capital gains tax is still available through like-kind exchange or 1031 tax-deferred exchanges but are limited to real property.
- Qualified opportunity zones – taxpayers can exclude all or a portion of the capital gains from a sale of property if the gain is invested in a qualified opportunity zone. These zones are certified by the IRS and can be viewed at www.cdfifund.gov/Pages/Opportunity-Zones.aspx.
However, California has not conformed to all these changes.
To get started with your home sale or purchase, call Tim Brodowski @ 858-354-2354, Luxury Property Specialist.