What is the name of your state?Virginia
I posted this on the real estate forum but I am also putting here should somebody can help me. I have not gotten any feedback.
Thank you everybody for taking the time to read this and graciously help me. I have been unable to find an answer to my question
My parents bought the house in 1989 for 310,000K. They were neither US citizens nor permanent residents. At that time, my brother and his ex-wife also co-applied for the loan since they were citizens. The house has since been paid off by my parents.
The house remains under my parents name only. Neither my brother nor I have our name. In 1997, my mother passed away in the US. I have yet to have her name deleted off the county real estate papers.
My parents lived overseas and therefore this house was like a secondary home for them. They spent the summers here. They actually purchased the house for my brother and I to stay. My brother and I both lived in that house since 1989 and paid all the utility bills and the property taxes.
My father is planning to sell the house. He is currently volunteering overseas, therefore he will not be here at the time of sale. I will be representing him.
The problems are the following:
-My father is a French citizen and not a US citizen. He is a permanent resident. He has never filed an income tax in the US because he never received any income in the US. He has an account here in the bank that is linked to mine..I have been paying all dividends.....
-He has lived here only sporadically not continuously for 2 years. We, his children have lived in the house since 1989. I left last year to buy a house on my own. Adding all the time he has been in the house exceeds 2 years. However, in the last 5 years, he has not really lived 2 years
- The house is expected to have doubled in value to about 650K
My questions are the following:
-To represent him, can a long term power of attorney for finance be enough. I have pulled something off the internet and having him fill that. We will get it notorized at the bank
-Is it possible to consider this house to be his "main home" in the US..How are taxes going to be determined? Can he exclude from income any gain up to a limit of 250K? Does the fact that my mom passed away in 1997 changes anything?
-If the gain cannot be excluded, it will be therefore taxable. At what rate will it be?
-Since 1989, the house has beed our main home (my brother and I) is it better AND is it legal for my father to transfer the name on the title to me and my brother so that when the house is sold, we can use the capital gains exclusion on it
I posted this on the real estate forum but I am also putting here should somebody can help me. I have not gotten any feedback.
Thank you everybody for taking the time to read this and graciously help me. I have been unable to find an answer to my question
My parents bought the house in 1989 for 310,000K. They were neither US citizens nor permanent residents. At that time, my brother and his ex-wife also co-applied for the loan since they were citizens. The house has since been paid off by my parents.
The house remains under my parents name only. Neither my brother nor I have our name. In 1997, my mother passed away in the US. I have yet to have her name deleted off the county real estate papers.
My parents lived overseas and therefore this house was like a secondary home for them. They spent the summers here. They actually purchased the house for my brother and I to stay. My brother and I both lived in that house since 1989 and paid all the utility bills and the property taxes.
My father is planning to sell the house. He is currently volunteering overseas, therefore he will not be here at the time of sale. I will be representing him.
The problems are the following:
-My father is a French citizen and not a US citizen. He is a permanent resident. He has never filed an income tax in the US because he never received any income in the US. He has an account here in the bank that is linked to mine..I have been paying all dividends.....
-He has lived here only sporadically not continuously for 2 years. We, his children have lived in the house since 1989. I left last year to buy a house on my own. Adding all the time he has been in the house exceeds 2 years. However, in the last 5 years, he has not really lived 2 years
- The house is expected to have doubled in value to about 650K
My questions are the following:
-To represent him, can a long term power of attorney for finance be enough. I have pulled something off the internet and having him fill that. We will get it notorized at the bank
-Is it possible to consider this house to be his "main home" in the US..How are taxes going to be determined? Can he exclude from income any gain up to a limit of 250K? Does the fact that my mom passed away in 1997 changes anything?
-If the gain cannot be excluded, it will be therefore taxable. At what rate will it be?
-Since 1989, the house has beed our main home (my brother and I) is it better AND is it legal for my father to transfer the name on the title to me and my brother so that when the house is sold, we can use the capital gains exclusion on it