Fabulous Bellevue Daylight Rambler on a 19,000 sf lot backs to Glendale Country Club, Kelsey Creek Park, and the Lake to Lake Trail

Fabulous Bellevue Daylight Rambler on a 19,000 sf lot backs to Glendale Country Club, Kelsey Creek Park, and the Lake to Lake Trail

Sold $1,510,000

5 bed · One full Bath · two 3/4 baTHs · 3,322 sqF 19,040 sf lot

13603 SE 3rd Place, Bellevue, WA 98005

Best possible location: Backs to Glendale Country Club, Kelsey Creek Park and the Lake to Lake Trail!! Home on a quiet cul-de-sac features park-like grounds, fabulous garden space, private seasonal pond & more. This unique property has so many special features like the stainless steel lined garden beds w/watering faucets at each corner & multi-level entertainment sized deck. This spacious 5-bedroom home has 1-full bath and two 3/4 baths. Move right in and enjoy the prime Bellevue location or bring your remodeling ideas. Home features vaulted ceilings, a large kitchen, generous bedrooms, west/south facing sun porch/atrium, a greenhouse, outdoor grilling area and more. Stay cool in the summer with central AC. 5 Star location, 5-star home!

 

Your real estate solution awaits.

Would you be willing to put off the sale of your home for 2 years in order to be able to reinvest your proceeds and defer taxes on your sale?

Here is an example of a client we are working with right now:

Our client has a highly appreciated home, wants to defer taxes on the sale of their  home and still be able to claim the Section 121 exclusion. 

·  Client paid $198,000 for their Sammamish home in 1989.

·  Client invested $143,500 in improvements over the years and has the receipts: 

New Kitchen, New master bath, new roof, new guest bath, added a fence, 2 decks, created a closet in the attic off the master bedroom, added a patio off the front porch

·  Client’s house value today about $1,650,000.

·  If they sold it, they would likely have to pay capital gains tax of about $135,800 as follows:

Sales Price:              $ 1,650,000

Cost of Sale:             $   132,000

Purchase Price:        $   198,000

Improvements:          $   143,500

Gain on Sale             $1,176,500

Section 121 Excl       $    500,000 (married filing jointly)

Taxable Gain            $    676,500

Cap Gains Rate:                  20%

Tax on Sale:             $    135,300

Last year they bought a home in Florida for $579,000 that they hope to retire to someday, but for now, are renting the home to cover the costs.

When they decide to retire, they plan to:

 1.  Move into their Florida rental house and make it their new primary residence.

2.  Convert their Sammamish house into a rental property for at least 2 tax seasons.

3.   After 2 years of rental, but before 3 years of rental, sell the Sammamish house using a Section 1031 exchange.

4.  Claim the Section 121 exemption on the sale of the Sammamish house and use that $500k to pay off their loan on the Florida house.

5.  Use the 1031 exchange on their sale to roll the remaining proceeds into a Delaware Statutory Trust so it would continue as investment property for them.

 After all that, they hope to end up with:

·  A Florida home free and clear of all debts;

·  About a $919,000 investment in a DST (currently yielding about 5% cash on cash).

Look at the attached chart below to see an example they used to make their decision. It’s a side-by-side comparison for them showing the difference between Selling now and paying the taxes vs converting to an investment property and then exchanging into a DST in about 2 years.

Example of Sammamish client transition to DST.