Depreciation
No tax on rental income
No tax on appreciation until sold
Capital gains is lower than ordinary income
Live-in flip- 2+ years of occupancy of the last 5 years and can still take the $250 (single) $500K (married) profit without paying tax.
1031 Exchange- Exchange equity into like-kind property and defer the tax
Installment Sale- defer gains tax on principle portion of the note income and prevents you from giving up to higher tax bracket due to a large gain on sale
Borrow tax free against it
Can use self directed IRA/401K to purchase
Die with real estate- your heirs get the property on a stepped up basis!
(see your accountant for details!!)
Top Real Estate Investing Tax Benefits
