4 ms·

You’re not taking home a pile of cash without paying a ton in taxes. That’s why you see more homeowners in the Bay Area renting rather than selling.

• alistairSH 6y ago
  $250k/$500k (single/married) of gain on a home is tax exempt (federally). That should cover the VAST majority of home-owners.
  • almost_usual 6y ago
    It’s definitely not if you bought 5+ years ago.
  • freeone3000 6y ago
    Not in the bay area it won't.
    • alistairSH 6y ago
      Looking at average sales values from the low point in ~2010 and today's high, there's about a $700k difference (looking at SanFran city). So, yeah, if you timed perfectly on an average house or higher, you'd have $200k+ of income to report. But, anybody who bought an average home within 5 years is going to be below the $500k threshold. Either way, you still walk away with $500k tax-free. Which is still a massive pile of cash by any measure, contrary to the post to which I responded.
      • almost_usual 6y ago
        Rich people don’t get rich paying taxes.