In order to keep taxes to the minimum, you really have to show high deductions which effect your adjusted gross income.

While technically the interest you pay should be deductible, you will face an uphill battle and have to prove every penny of interest you are deducting is legitimate.I would recommend you look at other options.

In real estate, you can show a gain, then the depreciation (paper deductions) reduces it to a loss.

One more point, it is my understanding that what Youngstown is going to try to do is come back and levy some pretty hefty fines against landlords and absentee property owners that allow good homes to fall into disrepair.

Uncle Sam allows many tax deductions, tax credits and other government-sponsored programs connected with real estate investing that cut the investor's tax bill, thus, increasing the bottom line and equity growth.6.

Your banker will deduct 25% from your rents in addition to taxes and insurance as a standard practice.

You can deduct all the normal cleaning, maintenance, etc.You can go to small claims court to get whatever money you're owed.

Oh, can you also deduct taxes while you're lease optioning the house as a buyer/tenant?

Basically its negative cash flow for now but i do get the deduction for my losses at the end of the year as well as the interest paid.

The ACV policy, including 500K liability and 2500 deductible will cost me less than $400 per year.