The Under 40 Financial Planning Guide: Sell a Home

An additional reason to invest in a home is that you can shelter the profits you earn when you sell your home. As long as you buy another home of equal or greater value within two years, you can shelter all of your profits from the sale of your house. Once you reach 55, you can sell your home, and buy a smaller home (or even no new home at all) and make up to $125,000 of profit with no taxes. This is one of the best deals in the entire tax code!