After 33 years and four children, Baby Boomers Marta and Octavian Dragos say they feel trapped in what was once their dream home in El Cerrito, California.
Both over 70, the Dragos are empty nesters, and like many of their generation, they’re trying to figure out how to downsize from their 3,000-square-foot, five-bedroom home.
“We are here in a huge house with no family nearby, trying to make a wise decision, both financially and for our well-being,” said Dragos, a retired teacher.
But selling and downsizing isn’t easy, appealing or even financially advantageous for many homeowners like the Dragos family.
Many Boomers whose homes have surged in value now face massive capital gains tax bills when they sell. This is a kind of tax on the profit you make when selling an investment or an asset, like a home, that has increased in value.
Plus, smaller homes or apartments in the neighborhoods they’ve come to love are rare. And with current prices and mortgage rates so high, there is often a negligible cost difference between their current home and a smaller one.
Nope. No exceptions. You made money for doing no work, you pay taxes on that money. Plain and simple. Cap Gains tax rates are already absurdly low, so frankly anybody asking for a further reduced rate or exception is already a greedy pig not worth listening to.
I see you’ve never sold a house. If you do, have fun losing 15% of that value. The only way to prevent that is for your house to not accrue any value while you lived in it.
Cry to someone that gives a shit. Be less greedy. I’ve paid my share of capital gains, you don’t see me crying like a greedy little piggy about it.
It’s too bad no one agrees with you and you’ll die mad about it.
Seems like plenty people agree taxes should be paid. In fact so many people agree that it’s a law. Your greed will never fill that void, btw.