Tax Advantages of Real Estate
March 19, 2007 by David Cowgill
The tax advantages of real estate are staggering. You can own a rental unit, collect rent, pay operating expenses and loan payments, and come out with a positive cash flow, and then still get a tax break. When you own rental real estate, or even if you just buy and sell properties, you are classified as being self employed. You are also allowed to deduct operating expenses, which further reduces your income for tax purposes.
Been self-employed is one of the greatest tax savings tools that exist. You are able to shift a lot of your regular living expenses into the area of legitimate tax deductions. Of course, along with the advantages of preferred tax treatment, appreciation, and leverage, there is also monthly income that can be made, using a few simple methods of buying, renting, managing, and selling.
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Good site, nice design!
Thanks Chuck. I hope you find this information useful!
There are so many benefits to owning a home and then renting it out. The tax breaks are a fantastic reason! Great Point!
Walt
Tax Appeal
Prices are back to 2003 levels. next year will be the hottest for tax appeals.
Check out Beths Picks for more information on real estate as well, http://www.beachrealtync.com/Bethspicks.htm