How’s the house titled? If it’s joint, you both might qualify for the exclusion based on special rules for divorcing couples.
Washington said:
How’s the house titled? If it’s joint, you both might qualify for the exclusion based on special rules for divorcing couples.
It’s titled in both our names. Thanks for mentioning that. I’ll make a note when I file.
Can I get a small loan while you’re at it? 
Don’t spend the cash. Roll it over into another property. It’s a known workaround that I’ve used before. Just keep the money moving. Talk to your banker about it.
Reilly said:
Don’t spend the cash. Roll it over into another property. It’s a known workaround that I’ve used before. Just keep the money moving. Talk to your banker about it.
I think you’re mixing this up with the 1031 exchange, which applies to investment properties, not a primary residence sale.
Reilly said:
@Mica
Ah, my bad. Thought this was a second property.
Nope, 1031 doesn’t apply to a primary residence, just investment properties.
Reilly said:
Don’t spend the cash. Roll it over into another property. It’s a known workaround that I’ve used before. Just keep the money moving. Talk to your banker about it.
You can’t do a 1031 on your main home.
Reilly said:
Don’t spend the cash. Roll it over into another property. It’s a known workaround that I’ve used before. Just keep the money moving. Talk to your banker about it.
Let’s call that a TikTok tax tip!
Reilly said:
Don’t spend the cash. Roll it over into another property. It’s a known workaround that I’ve used before. Just keep the money moving. Talk to your banker about it.
I used $69K of the profit as a down payment on a new house. The remaining $15K will be sent to me. Does that mean I’m only taxed on the $15K?
Mica said:
@Sal
Did you live in this house as your main home? Ever rent it out?
Yes, both my ex and I lived there until it was sold. I couldn’t manage both rent and mortgage.