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Updated about 6 years ago,

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16
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0
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Cindi Anderson
  • Investor
  • Sun Valley, ID
0
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16
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Major changes in property investments due to new tax laws

Cindi Anderson
  • Investor
  • Sun Valley, ID
Posted

If I'm understanding how the new tax laws affect RE investors, I'm surprised there's not more talk about this. It seems that unless you qualify as a "rental property" (currently or actively trying to rent), then no expenses other than property tax and interest are deductible or even able to be added to your cost basis. So no deduction (or reduction of eventual gain) for HOA dues, landscaping, utilities, insurance, attorney's fees, maintenance and repairs, etc.

It seems that this also applies to any maintenance and repairs which are done to sell a property, but I'm not 100% sure about that.  Maybe people in the "business" of flipping still can?   

Is it possible people just haven't figured this out yet because it hasn't been publicized?  Would love to hear what you all think about these changes.

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