From a tax deduction standpoint, I believe that mortgage interest on a taxpayer's residence phases out after a certain income level is reached.

Yes, it is a deductible expense like any other operating expense.

All you need is one or two buyers on your list to sell such a great spread, in fact, you don't have to sell it at all, it sells itself.True "cents on the dollar" are calculated by identifying the true, reasonable, and accurate after repair value, and deducting the true and accurate rehab costs to bring the subject property to that ARV.If the purchase price was plus rehab costs were actually 41% of the exit value, you would have 100 buyers waiting in line to bid up the price!

They can deduct the interest and you have to claim it as income.

So, you should still get the deduction, just not this year.

Your wages are all that should be deducted on your P&L.If you are a sole proprietorship you should not have any payments to yourself deducted.Out of curiosity, I have to ask why your accountant is unreachable at a time when you're supposed to be able to ask these questions.

Some you can deduct from the security deposit, some not.

Some of that depreciation was not deductible due to my income.

Would it affect depreciation and mortgage interest deductions?

Just to be clear, almost all of these costs would either be paid at closing for the loan or would just be deducted from the loan.