What Northern Nevada Homeowners Should Know for Tax Season

Tax season often brings questions for homeowners, especially for those who bought or sold property in the last year. In Northern Nevada, where home values and equity have changed significantly in recent years, it’s important to understand how real estate transactions can affect your taxes.

If you sold a home, one of the most common concerns is capital gains. In many cases, homeowners qualify for an exclusion on the profit from the sale of a primary residence. This exemption can significantly reduce or eliminate the amount of taxable gain, provided certain ownership and occupancy requirements are met. Every situation is different, which is why it’s always wise to consult with a tax professional who understands your full financial picture.

For buyers, tax season may not feel as urgent, but there are still benefits to staying organized. Mortgage interest, property taxes, and certain closing costs may be relevant for deductions, depending on your situation. Having clear records makes it much easier to work with your CPA and ensures nothing is overlooked.

One document that often proves especially helpful is the settlement statement from your transaction. This document outlines the financial details of the purchase or sale and serves as a reliable reference during tax preparation. Many homeowners underestimate how valuable it can be to have this information readily available when meeting with their tax advisor.

At The Berman Group, we believe part of our role is helping clients stay organized beyond the closing table. Real estate decisions don’t end when the keys are handed over, and thoughtful follow-up can make a big difference in reducing stress later.

If you’re unsure how your recent real estate transaction may impact your taxes, reaching out to a trusted CPA is a great first step. And if questions come up about the real estate side of the equation, we’re always here to help clarify.