Seeking Advice on Tax Strategies and Pr

[Candi Kham]

Hi everyone,

I'm seeking guidance on navigating the world of real estate investing, particularly in the context of tax optimization. Currently, I find myself in the 37% tax bracket due to W2 income and I'm eager to explore avenues to shelter taxes through real estate investments. I'm specifically interested in acquiring a rental property within the $800k to $1.2M price range in Washington state.

However, upon evaluating rental properties in the current market, I've noticed a concerning trend of negative cash flow. This raises the question: what type of property should I be targeting? Should I consider house hacking to mitigate the negative cash flow, or opt for an older home in a sought-after neighborhood, even if it means breaching cash reserves every month?

I welcome any insights, suggestions, and tax strategies from experienced investors in this forum. Your expertise and advice would be immensely valuable as I embark on this journey into real estate investing. Thank you in advance for your assistance!