Seeking Tax Advice for Beginner Real Estate Investor

[Michael Moreno]

Hi everyone,

I am a 23-year-old beginner real estate investor, and I recently made my first purchase in September 2023—a one-story single-family primary residence with 3 bedrooms and 2 bathrooms. I currently occupy the principal room, leaving two vacant rooms.

My plan is to rent out one of the vacant rooms to someone I know, but I'm seeking advice on the tax implications of this move. I understand that as one acquires more types of assets, taxes can become more complex, and I want to ensure I'm maximizing my savings.

Are there any CPAs in this community who also own real estate and could offer guidance or share their experiences in navigating taxes as a real estate investor?

Looking forward to hearing from you all!

[Michael Plaks]

There are many CPAs here and many investors who think they are CPAs.

The key issue to understand is: you cannot create any tax losses from renting rooms in your house.