I bought an apartment in Washington DC in 1995 to live in. Subsequently I moved out of DC (and a few years ago, out of the country) but kept the apt and rented it out for many years. I paid the mortgage off a few years ago. Eventually, I decided to not rent it out any further (my last tenant left in early 2020). I sold the apartment in summer 2021 and now I have to pay capital gains tax. For tax purposes, is the apartment:
- my "main home" (doesn't seem to me as I live elsewhere);
- a "rental/investment home" (I didn't really buy it with the intention of investment, and at least for the last year and a half, it was not rented at all);
- or a "second home" (at least for the last 1 ½ years of it, it was a home that I kept for my own use)
To further add a wrinkle, given the passage of time and all my subsequent moves and life changes, I don't have any papers from the original purchase of the apartment. I remember the purchase price I paid for it but nothing else. What can I do to establish the cost basis for the apartment? (I have written to the bank that gave me the original mortgage in the hope that they may have a record but haven't heard back from them yet.)
Update: what are my options if I can't find any papers relating to the original settlement?