Tax, SDIRAs & Cost Segregation
Market News & Data
General Info
Real Estate Strategies
Short-Term & Vacation Rental Discussions
presented by

Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Tax, SDIRAs & Cost Segregation
presented by

1031 Exchanges
presented by

Real Estate Classifieds
Reviews & Feedback
Updated over 3 years ago on . Most recent reply
Tax Deductions on ADU
I am considering to buy a home with a built in ADU in CA.
Can i deduct a part of property tax and mortgage interest of the property as an expense for maintaining an ADU?
So for eg: Total Property value in 1M (75% main home 25% ADU) my annual interest payment is $24K and annual tax is %12K, can i deduct 25% of both as an expense of owning and maintaining rental property (ADU). Meaning can i deduct 25% of $36000, which is $9000 as an expense of owning/maintaining ADU?