First time buyer waiting period - HomeModders.com

Konstruction · 08-19-2007, 04:41 PM

The whole intentions of buying the house were living in now was to make a profit. Its a flip but not a 60day turn around. Now how long before one should wait before putting the house back up on the market to sell for profit. 2 years, 5 years ?

briansol · 08-19-2007, 04:51 PM

There are a ton of variables involved in a live-in flip.

First and foremost, the market. it's on a downslide now. I'd hold off on selling right now.
Second, capital gains tax. Depending on where you are, these can vary drastically. Where i'm from, you are only taxed if you sell in the first two years. After that, you are off the hook.
Third, your place needs to be ready to show and you should have already started looking for houses in your area that you might like to tour/visit, just like you would if you were selling a 'normal' house.

Are your mods done? are you ready to re-sell it? how long have you been there? whats the market doing in your area? how much did you invest in it, and whats your propsed asking price? Have you done a re-appraisal?

Konstruction · 08-19-2007, 05:08 PM

No my mods arent done yet. Just been knockiing out one thing at a time. Also I have to finish the roof and the deck before it can be listed. Maybe some more landscaping for the curb appeal. We have lived here right under 2 years. We bought this place for 93k and wont have no more than 15k in it.

Most of the houses in the neighbor are valued at 160-185. So some upgrades and a face lift should get the house in the ball park .

Before closing on the house it was appraised at 135k.

I couldnt tell you what the market is doing right now in my area. Havent checked it out due to projects unfinished. But from a phone call I just made , its not so hott right now.

I would like to see 190k after its said and done.

briansol · 08-19-2007, 05:21 PM

as it sits, from what i've seen, that place would probably list for 215-235 in my area.... but property here is probably 4th or 5th in the country behind cali, DC, new york and chicago.

Konstruction · 08-19-2007, 05:31 PM

In this city, I think all real estate is over priced.

Well when the time comes to sell , I am positive a profit will be made. Hell , new windows, remodeled bath and kitchen, new roof, and new deck(whatever I am going to do with that) new siding, new harwood floors in the kitchen and dining room, new carpet all through the house. you know the total face lift !! I have done all the work myself and I know by doing that I have saved a ton , I know !! From what I charge customers to remodel , renovate, newconstrucion . Its not cheap to afford a contractor.

So whats with the capital gains tax?

briansol · 08-19-2007, 05:41 PM

it's complicated and can vary drastically from one house to another, one city to another, and depending on what you sell and then buy into...

Capital gains tax - Wikipedia, the free encyclopedia

Capital gains tax rates -- a look at all the variables (Page 1 of 2)

your best bet is to consult with a mortgage guy or tax attorney

Konstruction · 08-19-2007, 05:49 PM

Yeah I will look into that . Thanks for the links.

08-19-2007, 04:41 PM	#1
Konstruction General Contractor Join Date: Aug 2007 Location: Richmond, VA Age: 29 Posts: 252 Rep Power: 5	First time buyer waiting period The whole intentions of buying the house were living in now was to make a profit. Its a flip but not a 60day turn around. Now how long before one should wait before putting the house back up on the market to sell for profit. 2 years, 5 years ?

08-19-2007, 05:21 PM	#4
briansol Administrator Join Date: Aug 2007 Location: Central CT Age: 32 Posts: 499 Rep Power: 10	as it sits, from what i've seen, that place would probably list for 215-235 in my area.... but property here is probably 4th or 5th in the country behind cali, DC, new york and chicago. Last edited by briansol; 08-19-2007 at 05:39 PM. Reason: typo

08-19-2007, 04:51 PM	#2
briansol Administrator Join Date: Aug 2007 Location: Central CT Age: 32 Posts: 499 Rep Power: 10	There are a ton of variables involved in a live-in flip. First and foremost, the market. it's on a downslide now. I'd hold off on selling right now. Second, capital gains tax. Depending on where you are, these can vary drastically. Where i'm from, you are only taxed if you sell in the first two years. After that, you are off the hook. Third, your place needs to be ready to show and you should have already started looking for houses in your area that you might like to tour/visit, just like you would if you were selling a 'normal' house. Are your mods done? are you ready to re-sell it? how long have you been there? whats the market doing in your area? how much did you invest in it, and whats your propsed asking price? Have you done a re-appraisal?

08-19-2007, 05:08 PM	#3
Konstruction General Contractor Join Date: Aug 2007 Location: Richmond, VA Age: 29 Posts: 252 Rep Power: 5	No my mods arent done yet. Just been knockiing out one thing at a time. Also I have to finish the roof and the deck before it can be listed. Maybe some more landscaping for the curb appeal. We have lived here right under 2 years. We bought this place for 93k and wont have no more than 15k in it. Most of the houses in the neighbor are valued at 160-185. So some upgrades and a face lift should get the house in the ball park . Before closing on the house it was appraised at 135k. I couldnt tell you what the market is doing right now in my area. Havent checked it out due to projects unfinished. But from a phone call I just made , its not so hott right now. I would like to see 190k after its said and done.

08-19-2007, 05:31 PM	#5
Konstruction General Contractor Join Date: Aug 2007 Location: Richmond, VA Age: 29 Posts: 252 Rep Power: 5	In this city, I think all real estate is over priced. Well when the time comes to sell , I am positive a profit will be made. Hell , new windows, remodeled bath and kitchen, new roof, and new deck(whatever I am going to do with that) new siding, new harwood floors in the kitchen and dining room, new carpet all through the house. you know the total face lift !! I have done all the work myself and I know by doing that I have saved a ton , I know !! From what I charge customers to remodel , renovate, newconstrucion . Its not cheap to afford a contractor. So whats with the capital gains tax?

08-19-2007, 05:41 PM	#6
briansol Administrator Join Date: Aug 2007 Location: Central CT Age: 32 Posts: 499 Rep Power: 10	it's complicated and can vary drastically from one house to another, one city to another, and depending on what you sell and then buy into... Capital gains tax - Wikipedia, the free encyclopedia Capital gains tax rates -- a look at all the variables (Page 1 of 2) your best bet is to consult with a mortgage guy or tax attorney

08-19-2007, 05:49 PM	#7
Konstruction General Contractor Join Date: Aug 2007 Location: Richmond, VA Age: 29 Posts: 252 Rep Power: 5	Yeah I will look into that . Thanks for the links.