Depreciation and taxes

[Zach Z.]

Hello,

New to property rentals and wanted to figure out the finances as clearly as possible before embarking on this. My situation is that my rental income will be less than expenses (mortgage, insurance, property taxes, maintenance, management, etc.) I plan to depreciate the house for the tax benefits but I'm not sure there will be much benefit. Although from google, it seems the depreciation recapture tax will still apply when selling even if you don't claim it? It also seems like I would not be able to carry rental losses forward due to high income. Even if I were able to carry losses forward, it can only be used to offset rental income, not ordinary income. Am I thinking about this the right way?Any advice or insight would be greatly appreciated.