Single family home inherited in 2013. Value $230K, per Zillow, Red Fin, etc.
Home held by beneficiary from 2013 - 2022, and put into service as an AirBnB/VRBO short-term rental from 2014 - 2023. Did well (Super 5 star rating, occupied most of the year), but due to burdensome increasing county rules and increasing taxes, decision was made to sell home and purchase, via a 1031 exchange, in another, more favorable, county.
Home was sold for $585K, via a 1031 exchange, and another home was purchased, in another, more friendly county, for $585k, in August, 2023, to use as another AirBnB/VRBO short-term rental (like-kind exchage).
1031 Boot amount of $0k.One month later,buyer decided that he wants to get out of the short-term rental business (middle men AirBandB and VRBO always side with renters when there are damage disputes, and renters don't seem to care about other's property), and wonders if there will be any capital gains.
Yes? No?