You can do cost segregation on your properties and generate a lot of deductions – but if you can get advantage of those deductions and move them from the passive side to the active side (via REPS) it’s another question (and unlikely if you have a W2 job, maybe a stay at home significant other?).

This last month they inadvertently deducted the payment from me instead of the payee's account.

For newly constructed, purchased or renovated properties and also retroactive generally over the last 10 years, building components are properly classified into individual units of property and accurate recovery periods for computing depreciation deductions.

We may be pushing out some deductions each year, but it's a relatively small amount and the value of easy accounting a worthwhile tradeoff.

I compared the cashflow + appreciation + loan paydown + tax deductions against those of the other properties I was considering a 1031 exchange or Section 121 into.

That interest is tax deductible to me as a borrower.

LLC orS-Corp.Don't be in the wrong type ofentityFirst – Asset protectionbenefitSecond – Tax savings benefit Rental Real Estate – 1031(same in LLC or personal name)Syndicate - 15% or more in taxsavings, self-employment tax (flippers may use this) Expenses for write off &deductions: equipment & appliances, home-office ($5 per sq ft.), travel costs (related tobusiness), kids (income shifting by payingthem to work for you, meaning business related), membership, conferences &education, meal expenses for business, retirement strategies (selfdirected investing, tax-free or tax deducted, 401K/IRA)depreciation Pro-active Planning / Get a taxadviser Talk to your tax adviser inadvance Fire OutOrganize expenses, listquestions, changes (buy, sell, etc. properties.)Changing entity type from LLC toS-Corp etc.

I want to be able to claim deductions. 

After deducting $29,940 of commissions, profits = $41,645 and that is before income tax.Do I REALLY have to use a realtor each time?

Can I now sue him anyways for what I would have deducted?