Hey everyone. Long time lurker and this has probably been covered but I can’t seem to find anything.
TLDR: Relocated by company. Sold our house, received equity. 1. How do I have to utilize that in regards to the purchase of a new one and what taxes will I be owing due to receiving? 2. Do I have to use it all on the down payment for the new one or no? 3. Is it better to have a balance on a CC or keep savings in the bank when going for a new mortgage?
So I have relocated with my company. I sold my house and received $40k+ equity from the sell. I am buying a new house in the new city and don’t really want to utilize all of my equity towards a DP on the new one. Is that advisable and if I don’t use it all, will I face repercussions (taxes) bc I didn’t put it towards the DP. If I don’t use it for the DP I would use it towards fixing up the new house, would that give me relief towards any repercussions? I just simply don’t know.
Also, I have a little bit of CC debt. Nothing major, around $5k. I have money in savings (not the equity money) that I could pay that off with and wondering, should I pay off the card or should I just pay the minimum and leave the money in savings? I’m asking as to which option would benefit me more when going for another mortgage.
I appreciate your assistance with this situation!
This was our first home sell and like I said before, I just don’t know and want to make sure I make the right choices and believe that there are very smart people on here that could advise!
Thank you
Submitted June 24, 2020 at 09:24PM by thewckdridlr https://ift.tt/3dydXyQ
