I understand that if you had a gain from the sale of the timeshare, it would be treated as a capital gain and taxed at the more favorable capital gains tax rates. However, loss on the sale of real property is not deductible.
What if you were selling TWO timeshares, one with a gain and the other at a loss? Say, I make $5k on one timeshare and lose $6k on the other:
1. Am I forced to claim the $5k while getting no benefit of the $6k loss or
2. Can I net the two to a $1k loss…which I then cannot claim?