Looking forward to seeing your portfolio grow.Feel free to drop me a note if you need any help with cost segregation (how to reduce your taxable income using advanced depreciation).Chris Schmidt-Löffler

I ran into this recent TurboTax article  that led me to believe it was possible: Second, you may have a net operating loss (NOL) if the Section 1231 loss is large enough to reduce your other income below zero.

Are there any safeguards to reduce your risk from the property seller?

All else being equal, lower mortgage rates reduce the cost of ownership and, thereby, allow more people to afford to buy.

Converting the short-term rental to a long-term one can help reduce the hassles of frequent turnover and management while offering more predictable cash flow.

Additionally, there is specialized equipment including diagnostic machines and hydraulic lifts.The use of the accelerated depreciation strategy helps real estate investors to reduce the tax liability immediately which therefore increases their bottom line due to the offsetting of income.

Consider house hacking and short-term rentals for reduced living expenses.

If your goal is personal-use real estate, cashing out the 403(b) is an option, but it will incur income tax and a 10% penalty, significantly reducing your available funds.

Or, is REPS really a “free lunch” for those who qualify - they can claim an active loss reducing ordinary income today, AND get to claim passive and capital gains in the future on the appreciation?

Property managers ensure compliance with local, state, and federal regulations, reducing the risk of legal disputes and penalties.7.