Last year my dad was killed, probate has completed and I now own my house and my dads house. Originally we were just gonna sell it outright. But after thinking about it, values on my house and dads house have increased. The wife and I want to sell both houses, and use the profits above the mortgage price toward a downpayment of a newer/bigger home. However, the .gov is gonna see the profit as income and will want a slice. What would be the best way or are there any suggestions on how to minimize the amount that goes to the .gov and maximize it toward downpayment of a new abode?