The Reality of Real Estate Depreciation and Tax Deductions

Someone sold you on this myth: buy a $200K property, get 25% depreciation in year one, write off $50K in taxes.
Here's the actual math: depreciation on residential property is spread over 27.5 years. That's roughly 3.6% of the building value annually. Your $200K property with $160K in building value gets around $5,800 in annual depreciation. Not $50K.

Even with cost segregation, you're accelerating some pieces, not taking a flat 25% deduction in year one. And depreciation is a deduction against rental income, not a dollar-for-dollar tax credit.
This is why so many investors get disappointed. They buy thinking they'll save $50K, then their CPA shows them the real numbers.

Talk to a CPA before you buy.
Comment TAX for the free tax savings guide.
🌐 www.dimovtax.com
📞 866-436-5089

#RealEstateInvesting #TaxTips #SmallBusiness

Видео The Reality of Real Estate Depreciation and Tax Deductions канала Dimov Tax Specialists