Enjoy the beautifully landscaped backyard with a covered patio, pool, spa, and RV parking.

As your Modified Adjusted Gross Income (MAGI) increases, the amount of rental losses you can offset against your ordinary income phases out.

With private patio and great Williamson County SchoolsWhat made you interested in investing in this type of deal?

Positioned near land we own on West Concord Street, which is slated for a major development of 12 patio homes and two duplexes, this property is central to a broader strategy of enhancing value and transforming the area.

I rent homes unfinished for the most part but sometimes, if a space would look better with something extra, like a coffee bar or a patio table, I will pick one up.

I think when evaluating anything we should be critical of what is ordinary and what is extraordinary.

This is most of the depreciation you are taking year one.You can calculate your depreciation recapture by taking the sale price of the asset and subtracting the adjusted cost basis.The adjusted cost basis is what you paid for the asset plus any improvements you made along the way minus the depreciation you took along the way.The profit above this original cost is taxed as a capital gain, but the part linked to depreciation is taxed at a maximum rate of 25% under the unrecaptured gains of section 1250.To recap the tax rates are:- Sec. 1250 real property: 25%- Sec. 1245 property and 15 year 1250 property: Ordinary Tax RatesThere are ways to minimize depreciation recapture especially if you know how to work smart with your CPA.1) Asset Valuation at Time of Sale - Sellers can minimize recapture by reallocating the price of the assets on sale.

Acquired to support broader community revitalization, this land is slated for the construction of 12 patio homes and two duplexes.

Most everyone that you've described or hope to reach is either an investor, an already learned and savvy buyer/seller, or a cheapskate, and that just doesn't fit the prototype of what the vast number of buyers and sellers are - ordinary people who just want a fair price on a house and to get in and out safely without having to learn the RE industry themselves or spend a lot of effort on the process.

Cost segs unlock these savings, but the losses won't offset your ordinary income from your job unless you are an RE Pro.Here's how to think about RE Pro status to make the best case with your CPA and the IRS:RE Pro Status starts with the IRS definition of a Real Estate Professional (IRS Pub 925).It is not as simple as getting a real estate license or working for a firm that provides real estate services.Ask yourself these questions to see if you qualify:Q1: Are you in the right business?