Enter the purchase price of the home ($), the sale price of the home ($), and the tax rate on sale (%) into the calculator to determine the Home Sale Profit. 

Home Sale Profit Formula

The following formula is used to calculate the Home Sale Profit. 

Phs = (SP – PP) –  SP*TR/100

  • Where Phs is the Home Sale Profit ($)
  • PP is the purchase price of the home ($) 
  • SP is the sale price of the home ($) 
  • TR is the tax rate on sale (%) 

How to Calculate Home Sale Profit?

The following example problems outline how to calculate Home Sale Profit.

Example Problem #1

  1. First, determine the purchase price of the home ($). In this example, the purchase price of the home ($) is given as 100000 .
  2. Next, determine the sale price of the home ($). For this problem, the sale price of the home ($) is given as  200000 .
  3. Next, determine the tax rate on sale (%). In this case, the tax rate on sale (%) is found to be 25.
  4. Finally, calculate the Home Sale Profit using the formula above: 

Phs = (SP – PP) –  SP*TR/100

Inserting the values from above yields: 

Phs = (200000-100000)-200000*25/100 = 50,000 ($)


Example Problem #2

The variables needed for this problem are provided below:

purchase price of the home ($) = 300000

sale price of the home ($) = 500000

tax rate on sale (%) = 30

Entering these values and solving gives:

Phs = (500000-300000)-500000*30/100 = 50,0000 ($)