Lost deposit on condo - how to claim loss on Taxes


I put in a deposit to purchase a condo (pre-construction), but then I lost it since I did not act fast enough to sign the papers once the condo went to contract.

How do I claim this loss on the tax forms (where??).


Did you really lose it, or is it still refundable. In my area, reservation deposits are fully refundable until you have the property under a ‘hard’ contract.

I wonder if all you lost was your reservation on the property. Did you ask the builder to refund your reservation deposit?

It is a real loss. The contract was specific that within a certain amount of time the deposit would be lost.

Back to the original question – how and what do I claim for taxes?


But, you said you did not sign the contract because you did not act fast enough.

Investment losses are claimed on Schedule D.

Yes, I wasn’t clear.

Contract was:put $X as an option to purchase. If didn’t respond within 10 days of when another contract to purchase was available (this is the real contract), then you lose your $X.