Rental Property Taxes: Depreciation, Deductions, and Resale

Investment properties can be great or terrible depending on the deal, and the tax picture is one of the most misunderstood parts. In this episode, Ryan explains which expenses are deductible, why depreciation is not free money, and how taking depreciation deductions today reduces your cost basis and increases the taxable gain when you eventually sell.Ryan and Aaron also clear up a common misconception using a scene from Schitt's Creek: a tax deduction lowers your taxable income, it does not eliminate the expense. If you own a rental property or are considering one, understanding how depreciation works before you buy is one of the most important things you can do. This is education, not personal advice, so work with a CPA who knows real estate before making any tax-related decisions about investment property.Find "Your Fiscal Physical" the book on AmazonIf you have suggestions or feedback, please email us at: [email protected], as always, Stay the Course!