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fleg9bo: "How the heck does HGTV give away its annual dream home? They are typically valued north of $1m. So the winner has to come up with more than $350k in federal income tax the year he wins it plus whatever state tax he may be subject to."

I have understood that they do a gross-up, with cash, to cover the taxes - (a) value of the house divided by the tax rate less (b) the value of the house is paid in cash.

"The average viewer probably can't afford the property taxes on the place anyway"


"and would have to give up his job in order to move to wherever it is. Doesn't make a bit of sense."

I believe that most winners sell them.

Regards, JAFO
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