Selling Home Before 2 Years
Question: When you purchase a home is there a penalty for selling it before living in it for 2 years?
Answer: Yes, a homeowner selling a house before they have owned it two years will be responsible to pay to the IRS capital gains tax on the increase in value between the purchase price and the net sale price. If you are not making a profit, then there is no IRS penalty.
Attorney: Mark Miller