Mortgage rates are very low here, around 1.5%, so I have somewhat of a unique situation where there isn't much loan interest to deduct from my taxes and of course rental income is fully taxable, making my taxable income significantly higher than cash flow.

I think we can expect the Federal Government and Federal Reserve to continue intervening until at least November.

Also, what if you're planning to have a higher taxable income when you are eligible to withdraw your funds without penalty?

Then, if you don’t already have your 10 federally backed loans, quit claim deed the property into the adults name, get a loan for the property, and then quit claim deed the property back into the name of the LLC after the loan is finished for more asset protection and tax filing purposes.

My credit is good, however, my taxable monthly income does not look great on paper.

@Swati PatelThere is no such thing as taking partial depreciation.There are some items that you can do to accelerate/slow down depreciation but there is no such thing as partial depreciation.Accelerate depreciation = Bonus depreciation, section 179 expense, cost segregation analysisSlow down = Making an election to opt out of accelerated depreciation.Regarding whether or not you can utilize the rental losses to reduce your taxable income...It depends on what your adjusted gross income is.

You can ask your PM the application they've gotten so you both are looking at the same data and evaluating on the same basis, but as Anna pointed out do keep in mind your fair housing laws for the state, and of course federally. 

@Ryan SweeneyI am surprised your income taxes will give you that much of a hit.It seems like he took the 14% and multiplied it by your federal/state marginal tax rate and told you 9%.Did he factor in that you would have depreciation which would reduce the taxable portion of the cash flow?

BankAssociation, as Trustee, on behalf of The Holders of The Home Equity Asset Trust2007-2 Home Equity Pass-Through Certificates, Series 2007-2.A Substitution of Trustee dated October 11, 2017 and recorded October 17, 2017 asEntry No. 12638774, in Book 10609, Page 8781, of Official Records, wherein eTitleInsurance Agency was substituted as Trustee under said Deed of Trust.A Notice of Default under said Deed of Trust was recorded October 17, 2019 as EntryNo. 13101879, in Book 10847, Page 1627, of Official Records.A Deed of Trust executed by Greener Homes, LLC as TRUSTOR and CavalierInvestments, LLC as TRUSTEE, in the stated amount of $50,000.00, in favor ofHampton Homes, LLC as BENEFICIARY, dated January 25, 2017 and recordedJanuary 25, 2017 as Entry No. 12462162, in Book 10523, Page 8274, of OfficialRecords.18.A Deed of Trust executed by D & G Family Trust as TRUSTOR and CavalierInvestments, LLC as TRUSTEE, in the stated amount of $30,000.00, in favor ofRobert Smith as BENEFICIARY, dated May 17, 2018 and recorded May 17, 2018 asEntry No. 12774184, in Book 10675, Page 4672, of Official Records.The Right, Title and Interest of D & G Family Trust as disclosed by Deed of Trust WithAssignment of Rents, dated May 17, 2018, and recorded May 17, 2018, as Entry No.12774184, in Book 10675, at Page 4672, of Official Records.A Notice of Federal Tax Lien in the amount of $167,879.21 and recorded November18, 2010 as Entry No. 11077921 in the Office of the Salt Lake County Recorder, infavor of: THE UNITED STATES OF AMERICA, AGAINST Geoff Watson, as Debtor.Paperless Child Support Lien (ongoing) for child support filed originally on February22, 2012 under Case No. 126907306 in the 3rd District Court, State of Utah, Countyof Salt Lake, showing Dustin Christensen as DEBTOR, and Department of SocialServices, Office of Recovery Services as CREDITOR.

They would need to be held in a taxable account though and not in a 401k / IRA or other tax deferred vehicle.