K.M. Minemier & Associates is a certified Woman Owned Small Business (WOSB) engaged in full service real estate asset management and marketing.


Tax Benefits for Landlords

February 12, 2018

February 12, 2018 | The Boone Crew, Master Brokers 

If you think you are interested in owning rental property, there are several things to consider.  However, this article will review the advantages of owning rental property which are the tax deductions that you are allowed to take with rental property.  Some of these include:

  1.  Advertising
  2. Cleaning & maintenance
  3. Commission paid to real estate agents for securing a tenant for you
  4. Home owners or property owners association dues
  5. Insurance on the dwelling (the tenant is responsible for their personal property)
  6. Property taxes
  7. Legal fees
  8. Mortgage interest
  9. Utilities

Remember that there is a difference in repairs versus home improvements with only the repairs being deductible.  Home improvement covers items that add value to the home that can be depreciated over time.  Repairs are items that need to be fixed in order to keep the home in working order such as leaking faucets, broken door lock, etc. 

Depreciation is another tax benefit for landlords allowing the property to depreciate over the course of 27.5 years.  The amount of deduction is different every year.  If you are a landlord, it would be advisable to consult a CPA or the IRS publications (Pub. 527) to ensure you are taking advantage of every deduction properly.

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