What's wrong with this plan..

[theducks]

1) Buy house on 760m2 of land for $370k.

2) Subdivide land for additional $20k in fees.

3) Sell back battleaxe for $200k.

4) Sell front with remaining original house for $350k.

5) $160k profit

Aside from tax implications on the profit, what am I missing here?

Comments

[dilettantiquity.livejournal.com]

I wouldn't write it off entirely - sure, the tax on any gains will be doubled if you hold it for less than a year, but if it's lucrative enough in the short term you could still be looking at a decent profit.