Quote from @Jay Hurst: Quote from @Jay Hurst: Quote from @Randall Alan: @Gregory SchwartzThen there is this on privatizing Fannie & Freddie:"Trump may renew a housing fight that could rattle mortgage rates":https://www.cnn.com/2024/12/02/economy/fannie-mae-freddie-ma...The gist of the article is that without the government backstopping mortgages, rates could realistically go up!  

Not as big of an impact today, but I can see Trump reinstating the full bonus depreciation idea and making it retroactive. 

Long term vision can trump current cash flow.So I will proudly take the label of property hoarder.

I don't expect a swift recovery from Trump, without some extreme pain.

Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

I’m just starting out in real estate and ready to buy my first property to rent out,I’m in Los Angeles and was first thinking about Airbnb condo at the Palms place, Trump or even a sfh to rent long term.I don’t see too many investors bringing up Vegas.

The Kushner's do it this way, as well as President Trump.

It takes away your trump card... who wants to evict a sibling? 

Is the President-elect planning to privatize Fannie and Freddie? If so, why? I didn't realize that there is a problem that merits fixing? What am I missing? Is this a give-away? 

There is nothing that trumps the return on why it has so many investor owned homes.