Question

Property purchase

Forum|Forum|1 year ago
February 22, 2025
1 reply
0 views

I purchased the second half of an inherited property this year and am fixing it up for future sale. Do I need to report any transactions this year for this purchase?

KrisD15

No, not for this year.

If you inherited half and purchased the other half, when you sell your basis (cost) will be half the Fair Market Value of the house on the day of death for the inherited half, and the amount you paid for the other half (plus any major improvements you add).

You'll need that adjusted basis to figure any capital gain when you sell it.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"