Two Sellers, Two Stories — One Lesson: Why Strategic Real Estate Advice Matters
By Justin Bonney, Your San Fernando Valley Real Estate Advisor
No two sellers are ever precisely the same in real estate, but sometimes, their situations mirror each other in ways that highlight one powerful truth: strategy matters. Today, I want to share two real-life stories from the San Fernando Valley and Greater Los Angeles. Both involve long-time homeowners who bought in the early '90s for around $150,000 and now face the opportunity (and challenge) of selling for nearly $1 million. Their decisions—and the guidance they received—made all the difference.
📍 Story One: A Strategic Couple Leaves Van Nuys for Fort Worth
After 30 years of life in Van Nuys, a couple I’m working with is preparing to relocate to Fort Worth, Texas. They purchased their home in the early '90s for just $150,000; today, it’s worth around $900,000.
But here’s where it gets interesting: they are not legally married. Years ago, due to a business situation, they chose not to formalize their relationship on paper, even though they’ve shared a home, life, and finances for decades. Only one partner is currently on title.
The challenge? Capital gains taxes. Under Section 121 of the IRS tax code, an individual can exclude up to $250,000 in capital gains if they’ve lived in the home as a primary residence for two of the last five years—or $500,000 if you qualify as a couple. Even without a marriage certificate, domestic partners can be eligible with proper documentation and use-case support.
To maximize their exclusion, I recommended adding the second partner to the title before the sale. This strategic move allows them to take full advantage of the tax benefit—and potentially avoid paying hundreds of thousands in capital gains. It’s not just about getting a reasonable sale price—it’s about keeping as much of that equity as possible.
🏘️ Story Two: A Complex Family Legacy in Pico Rivera
The second story takes us to a triplex in Pico Rivera, also purchased for $150,000 nearly 30 years ago by a sister and two brothers. Over time, family circumstances shifted. The sister refinanced the property in the 2000s during a divorce and became the sole person on title. The family also rearranged some property interests, with one sibling receiving another property as their share.
Fast-forward to today: The sister and one brother still live in the triplex and want to sell. The estranged brother—who received another property and is not on title—now believes he has a claim. A family eviction is in progress, and we’re navigating a sensitive situation with care and legal coordination.
To move forward, we’re taking two steps:
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Adding the remaining brother to the title will qualify both siblings for the Section 121 capital gains exclusion.
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Filing the Homeowners Exemption, which was never done. This will allow them to utilize California Prop 19 when they buy again—preserving their low property tax base and saving them thousands in the years ahead.
🧭 The Takeaway: Real Estate Isn’t Just About the Sale
These stories show why home selling isn’t just about finding a buyer. It’s about understanding the bigger picture—ownership, taxes, family dynamics, long-term wealth planning. These are the areas where a seasoned real estate advisor makes a difference.
It's about protecting your financial future, family legacy, and peace of mind. Real estate decisions deeply affect your life long after closing. You deserve guidance that treats your financial interests as carefully as if you were family. That’s what I provide.
If you’re considering selling in the San Fernando Valley—whether it's Van Nuys, Sherman Oaks, or North Hollywood—don't just go with any agent. I grew up here in the Valley and treat every client like family. If you’re worried about choosing an agent who truly protects your interests, let’s talk.
That’s what I do. I’m Justin Bonney, and I’m here to guide you through the sale with competent, strategic advice tailored to your situation—because real estate is personal.
Your future deserves a smart strategy.
Planning a move or have questions? Let’s connect.
📲 818.697.4884 | 🏡 [Clear Way Real Estate]
