You're not "prohibited" from claiming bonus depreciation this year, but the resulting loss will probably be blocked and carried into the future years.

Excess business losses are capped for single individuals at $250,000 and for married individuals at $500,000, with any surplus being suspended and carried forward.

However, the real estate investments still offer the potential for tax-deferred growth and, under certain conditions, the ability to carry forward unused passive losses to offset future passive income.The concept of depreciation and bonus depreciation is particularly advantageous in the early years of an investment, allowing for significant upfront deductions.

Excess business losses are capped for single individuals at $250,000 and for married individuals at $500,000, with any surplus being suspended and carried forward.

Otherwise, all of your losses will be carried over to the next year or will be applied when you decide to sell the house.

Carrying out a comprehensive property analysis is key to pinpointing amenities that will draw in tenants and optimize rental revenue.Decide on your plan for house hacking- will you reside in one unit and lease out the other, or rent out both units and live elsewhere?

Hey @Carrie Zhang.

CONDO ASSOCIATION HAZARD/FLOOD INSURANCE DECLARATIONS PAGES: If this is a Condo, associations usually carry hazard/flood coverage as part of their association dues.

In part, justifiably so, and in part by mistaken identity.Justifiable:  Floating rate debt carries interest rate risk.  

I’d ask the current owners to carry back a mortgage, say you make a down payment and agree to pay them 5 or 6%.