Additionally, high-income earners with modified adjusted gross income (MAGI) over $250,000 (married filing jointly) may be subject to the 3.8% Net Investment Income Tax (NIIT).For 2025, bonus depreciation is at 40%, so consider leveraging it for eligible property assets like appliances or fixtures to accelerate deductions.

It takes a lot of energy to thoroughly vet a deal and a borrower to make sure financing is secure.

From a tax perspective, you'll want to take what you paid for the property plus calculate the improvements you made to the property during your time of ownership.

My mistake for not inspecting the property beforehand. Paid 12800.based on google mapsThe property is a mess. Need to clean the junk out of house .. hoarder . Bathroom and kitchen need redone. Large tree in back is de...

@Anita Z.I recommend finding an accountant who specializes in real estate taxation, tax planning and financial planning.

Michigan offers tax credits and breaks for development projects, especially in designated areas like Opportunity Zones.

I understand this is a good way to become financially secure over time and am eager to start.  

.- I will keep their security deposit for funds owed.- I will do my best to garnish future wages until their debt to me is paid in full.This has worked 100% time so far.  

Though I am unsure how I would amortize the up front remodeling costs for P&L, tax accounting.2) Interest only loans term loans -  Would allow current owner to have cash flow on the property, without eroding the asset value. 

., I left Anderson for a small firm that will do the actual taxes and then another company that specializes in tax strategy.