You can also use a bank statement loan or SE program to use gross deposits versus taxes that have deductions.

Essentially you are plugging in all of your data and they are using market price studied to generate your deductions.

For newly constructed, purchased or renovated properties and also retroactive generally over the last 10 years, building components are properly classified into individual units of property and accurate recovery periods for computing depreciation deductions.

@Gustavo DomitThere is a lot that goes into determine whether someone should sell including what they will do with the moneyOne thing to note is the capital gains deduction for your primary residence will expire in the future then all gains are taxed- so something to be aware of

That is thrown around because a lot of self-employed are showing minimal income on their tax returns because they deduct everything.If that is you, then yes you should go the HELOC or DSCR route.

Just quick math Adsense for 10,000 visitors gets you around $450-500/mo. 10,000 visitors takes good content and some healthy traffic generation.You'd have to pay someone to do that so deduct that from your net income.

Our accountant recently informed us that if we make more than $150,000 a year, we cannot deduct more expenses than we earn in passive income.

YOU ALSO WANT TO MAKE $25,000 FROM THIS DEALAFTER PLUGGING EVERYTHING IN- YOU GET $163,500-----    FOR GOOD MEASURE I DEDUCT AN ADDITIONAL $2000  FROM MY TOTAL MAX ALLOWABLE (MY PREFERENCE ONLY YOU DON'T HAVE TO) AS A FUDGE FACTOR AMOUNT ( YOU WILL SEE WHY SHORTLY) ...

For a rental, I can see replacing or repairing a unit being deductible as expenses and property improvements.If I am going to be wealthy someday, I do not want to have to wait two weeks for someone to fix my AC when it goes out in my house, and I do not want this for my renters either.

Or consider timing of other deductions into 2026 (if available) to offset that gain.Note that you cannot defer the ordinary income recapture, if any, that you have on the sale of your rentals into the QOF - only capital/1231 gains.