1099-S real estate sale considered investment?

if you never used that property personally it's an investment for you. The Daughter A thing is a problem because you need to find out her basis. She gifted you your share and that means your basis is either her basis or the FMV on the date the gift was made.....depending. TurboTax? It's entered like you sold a stock or bond.

1. Second house, investment home, whatever you call it, it goes on Sch D. The 1099-S is your sales price. You acquired the home in 2018 and the basis is a little more complicated. Follow these steps:

1. Father-in law purchase price of the house
2. Plus capital improvements (add a room, driveway, etc)
3. Plus any capital improvements by Daughter A 
4. Minus any depreciation claimed, rental, office
5. any other required items to add or subtract*
6. Divide by 4

*See Publication 551 (12/2022), Basis of Assets - IRS

2. Where do I enter the sale of a second home, an inherited home, or land on my 2022 taxes?