Quote from @Vince Scipione: In my professional oppinion I feel as though the influx of agents joining the field since covid significantly watered down the quality in the industry.

@Victor Yang To use the rental losses to offset any active income (W2), you'd have meet Real Estate Professional status (which would be difficult to do with a W2 job because you'd have to work more on real estate than any other job to qualify) OR have an AGI of $150K or less.

Whether it applies or not it's always a good idea to check with a professional first so thanks for the reply.

If you sell it, you get $250k single / $500k married exemptions from capital gains.Speak with a tax professional about how much you'll save in taxes by doing this. 

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Since rental losses are typically passive, the best way to offset W-2 income is through Real Estate Professional Status (REPS) (750+ hours) or Short-Term Rentals (STRs) (100+ hours and more time than anyone else managing the property), which allow real estate losses, including depreciation, to offset active income.A cost segregation study accelerates depreciation, generating large upfront deductions.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Looking to connect with fellow investors, developers, and professionals who are interested in leveraging design to maximize their real estate ventures. 

I'm Pratik Patel, a healthcare professional excited to join the BiggerPockets community.