Many property owners never claim the deduction hiding in a single rented room. At Ticker Tape, we research tax strategies to help our partners keep more of the money we help them make, and one of them is turning part of your home into a rental.
If you rent a room or an apartment in your property to a third party, that portion becomes a rental for tax purposes. That opens up deductions such as part of your utilities, property taxes, maintenance and lawn care. You can also depreciate the rental portion of the property to add to the deduction. Talk to your CPA about how this applies to you.
Key points
- Renting part of your home to a third party turns that portion into a rental for tax purposes.
- You may deduct part of utilities, property taxes, maintenance and lawn care.
- The rental portion of the property can also be depreciated.
Accredited investors: learn about current opportunities at tickertapeinvestments.com.
