Understanding Tax Benefits

Real estate investing offers several tax benefits that can enhance profitability. Investors can deduct mortgage interest, property taxes, and depreciation from their taxable income.

Key Tax Deductions

• Mortgage Interest Deduction: Interest paid on loans can be deducted.
• Depreciation: Investors can deduct the cost of the property over time.
• Property Tax Deduction: Property taxes can also be deducted from income.

Understanding these benefits can help investors maximize their returns.