2020 move & UK property

[Mc02 0]

Hello,

We are about half way through IR-1 DCF via London, the I-130 is approved and I need to book my medical/interview once I acquire my police certificate, etc.

I was hoping to get some advice on what to do with our UK flat once we move to the US? This is our only residence and has been our main residence the whole time we have owned it. The flat is in a popular area so there is potential to rent it out to cover the mortgage. Ideally I would like to rent it out until the mortgage is paid off but I have read some stories on here about CGT after renting or selling while abroad and would like some advice as to if this would actually be worth it?

Also, it is quite likely we will be moving without jobs - is $40,000 in savings generally enough to live in Chicago comfortably while we look for jobs?

Many thanks in advance

[aaron2020 11,651]

It would be wise to consult an accountant.  This can be complex tax planning.

 

You will have to declare rent as income on your US tax return.  You will also be able to deduct the mortgage interest and costs.

You will have to report the asset to the IRS with your tax return.

 

When you sell, you will need to report the gains on your US tax return.

 

You will have to run the numbers, look into the complications of filing tax returns in the UK and the US, and be able to manage a property from overseas with different time zones to see if it's worth it to you.