# UK GDP accounts for profits on sale of home

A house is built and sold to a family as their primary residence for £1000 in 2000. The purchase price is included in GDP for 2000. In 2001 the house is sold for £2500. The seller pays solicitors' and agents' fees of £200. This is included in services part of GDP for 2001. He pockets £300 profit on the sale. Is this profit part of GDP?

I think not, but can find no authoritative answer.

The $£2000$ appears in GDP in 2000, as production (less intermediate goods consumed) and as value added (the wages of the builders and profit of the developer) and as expenditure (capital formation or investment by the original buyer).
The $£2500$ actually does appear twice in 2001, once positively (by the new buyer) and once negatively (by the seller), as fixed capital formation in the expenditure measure of GDP.