Why are the net proceeds of a property sale lower than its sale value?
Where to find it: TIME MACHINE results → click the sale year; REAL ESTATE → Edit
The sale value is not the amount left to invest. TIME MACHINE can deduct selling costs, repay a linked mortgage, estimate a loan penalty and calculate tax on the applicable gain. Open the sale-year warnings and detailed cash-flow report to see these pieces.
Check the property’s tax treatment and acquisition cost. Capital Gain and Income are different selections. A taxable portion of a gain is income included in the tax calculation; it is not a tax bill equal to that entire portion. The actual tax depends on the person’s other income and the modelled tax calculation.
For a principal residence, review the exemption-year selections when the property list asks you to resolve them. For a rental property or rental portion, verify that the cost and use information are correct.
If the mortgage is not repaid, open the loan and check the collateral Property link. A mortgage with a similar name but no link is not enough. Compare the final TIME MACHINE report with the property form’s preliminary estimate, whose tax estimate is less detailed.