Deconstruction Can Be a Tax-Savvy Alternative to Demolition

For several years, Detelina Ivanova had been eyeing a rundown house that was for sale on an overgrown, one-acre lot in Vienna, Va. Just 1,200 square feet, the 1950s two-bedroom house with one story and a basement had been vacant for 10 years, sinking into deeper disrepair even as larger new houses were replacing other vintage houses in the neighborhood.

The house itself was not worth repairing, but Ivanova and her husband saw opportunity in the lot. Large and well-located, it was the ideal site for a large new custom home. As soon as the price dropped, Ivanova bought it in April 2015…read more