Selling to Buy a Bigger Home? It May Be Rough in This Hot Market

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After a long year spent cramped at home, many homeowners are eager to move into larger spaces. But trading up could be tricky in a seller's market.

Luis Gazitua put his Florida home up for sale in April when he saw the influx of clients coming from out of state to buy homes at prices he had never dreamed of.

After a long year spent cramped at home, many homeowners are eager to move into larger spaces. These sellers stand to benefit fromHere’s how to look at the financials and logistics of sizing up this seller’s market. Some real-estate agents recommend that you include in your contract that the sale of your home is contingent on finding a new home to buy, and you can also stipulate that you would like to close escrows simultaneously.

You will have to fill out a 1099-S form to report the gains, which you can request to be included as part of your closing documents. For more information on the tax implications of buying and selling a home, take a look at Publication 530 from the IRS.A housing market other than the one you are in may have options for you to consider.

 

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People in America have houses that are way too big, with most of the space hardly ever used.

All the speculators and flippers are the reason homes are so expensive.

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