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Reply to "How did you finance your kitchen renovation?"
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[quote=Anonymous]The only downside of selling stocks is that you pay capital gains on the gains, which is generally 15%. So if, for example, you're selling $100,000 in assets, you're paying perhaps a few thousand in taxes. For example, if your basis was $75,000 and it increased by 33% to $100,000, then it's $3,750 in taxes. And that's probably not additional taxes, but just accelerated payment, since you will probably sell and pay those taxes in the future anyway. So it might be worth borrowing depending on the interest rate, how much your assets have appreciated, and whether you plan to sell the assets or expect to hold them to death and completely avoid the taxes.[/quote]
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