Nicholas and Mary Smith, a married couple, sell their personal residence to Rose. Rose pays $225,000 and assumes their $50,000 mortgage. To make the sale, the Smiths pay $4,000 in commissions and $1,000 in legal costs. The couple has owned and lived in the house for eight years and their tax basis is $125,000. What is the amount of gain recognized on the sale?

A) $0

B) $100,000

C) $145,000

D) $165,000