Can I depreciate a 2-4 unit single family with an FHA loan?

[Peter Smith]

I was considering buying a small 2-4 unit single family house using an FHA loan with a down payment of 3.5-5%. However, you can't place a property with an FHA loan inside of an LLC. Would I still be able to depreciate the value of the house if it would be my primary residency for a year and I purchased it with an FHA loan?

Will I have to pay taxes on the income that I receive from the property if I can't depreciate the asset. Dosen't this mean I will have to make the mortgage paydown while it not being a tax write off?

[Basit Siddiqi]

That doesn't make sense - You can't have a 2-4 unit that is also a 'single family house'

in theory, if you have a multi-unit house, you live in one unit and rent out the rest.
If a property is being rented, it is being used as a business in which case the house can be depreciated.