Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Tax, SDIRAs & Cost Segregation
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 15 years ago,

User Stats

1
Posts
0
Votes
Kelle Jacobs
  • Homeowner
  • California
0
Votes |
1
Posts

Tax implications of carrying debt on primary vs investment property?

Kelle Jacobs
  • Homeowner
  • California
Posted

Hi there,

My husband and I are first-time landlords due to a property inheritance. The home we inherited does not currently have a mortgage on it.

We are looking at refinancing our primary residence, and I'm thinking there will be a tax benefit to shifting some of our debt to the rental property, but I was hoping someone on this forum can validate or disprove my thinking.

Every year we end up paying the Alternative Minimum Tax, which makes a portion of the mortgage interest on our primary residence non-deductible. I'm thinking that we should shift part of the loan balance on our primary residence to a mortgage on our rental property, so that the interest can be expensed against the rental income, and not hit AMT limits.

Does anyone see any holes in this logic?

Thanks much!

Kelle

Loading replies...