My partner and I are under contract to buy an apartment complex and it happens to be in an opportunity Zone we didn't even know it when we went under contract for the apartment complex and some nearby a couple of other complexes that we have and this one just happens to be in an opportunity Zone doesn't even appear to be a rhyme or reason as to why it's in an opportunity Zone. that being said it's not a redevelopment project and we're not going to be able to take advantage of the tax credit because there's no way that we can put a hundred percent additional Capital into this particular project but what it did is it got us thinking there might be another property nearby that does need that kind of redevelopment and so now we're actively seeking other properties in that same area that will help us build our existing portfolio and potentially get significant capital gains tax deductions at the same time.

Very often I meet real estate investors who chose to go with a $200 tax return filing accountant who costed them thousands and tens of thousands of dollars in mistakes like miscalculated depreciation, missed deductions, miscalculation of capital gains when selling the property and so on.I understand you don't want accounting fees to eat all of your profits, but I simply encourage to factor what you're getting from your accountant, weigh it against the price and find the combination that works for you.

As a RE professional you can deduct all the losses from the value add, which shelters all that income you get as a realtor! 

Unless you meet the delayed financing requirements, your use of the cash out refi funds will determine your ability to deduct your interest on that new loan....be careful.

I can only imagine this entitled spoiled brat.I would put a monetary value from your business standpoint on all of the risk you take on in that new lease, and deduct that from your offer. 

@Don IrelandOwning a duplex that you plan to househack is likely up there in complexity when discussing tax returns.When you acquire the property - you will have acquired an investment property in addition to a personal residence.As such - direct expenses related to the investment property and indirect expenses related to the investment property will be deductible when calculating rental income.I agree with Ashish - that you should open up a separate account that relates to expenses paid for the duplex.

(Rented the property in one day on market).My question concerns the split between personal and rental property deductions.

That might create a basis and at-risk issue for the other investor where he cannot deduct the losses from the partnership for tax purpose. 

The landlord should determine how much the fines may be and deduct enough from the tenants deposit to cover those fines. 

In the event late fee is not paid any amount owing shall be deducted first from any rental payment received.