Real Estate Investor Tax

Sometimes. Active participants may deduct some rental losses depending on income, and qualifying real estate professionals may deduct them fully. Short-term rentals follow special rules.

An engineering-based study that splits a building into components with shorter depreciation lives, which can speed up deductions in the early years.

You sell investment property and buy like-kind replacement property within strict deadlines, deferring the gain. A qualified intermediary must hold the sale proceeds.

Repairs that keep property in working order are deductible right away. Improvements that better, restore or adapt the property are capitalised and depreciated. IRS safe harbors can let you deduct some smaller costs immediately.

Residential rental buildings are depreciated over 27.5 years and commercial buildings over 39 years. Land is never depreciated.

When you sell, the gain attributable to depreciation you claimed is taxed at up to 25% federally, even if the rest of the gain qualifies for lower capital gains rates.

When the average guest stay is seven days or less, the property generally isn't treated as a 'rental activity' under the passive loss rules. If you also materially participate, losses may offset other income.

An LLC is mainly a liability decision. A single-member LLC usually doesn't change your federal tax, but it can affect financing, insurance and state fees.

No. We only recommend strategies supported by the tax code and IRS guidance, and we explain the risk and paperwork behind each one.

Yes. Tax decisions often affect investments, estate plans and legal structures, and we coordinate with your other advisors.

Every recommendation comes with an estimated tax impact, so you can see the value before you act.