Accounting & Tax Services for Real Estate & Property Management

Rental property depreciation is one of the largest tax benefits available to real estate owners, and cost segregation can accelerate part of that depreciation into earlier years - but only if it's set up correctly at the time the property is placed in service, not reconstructed years later.

Passive activity loss rules limit how much of a rental loss you can actually deduct against other income in a given year, depending on your involvement level and income. A lot of owners assume every rental loss is fully deductible, and that assumption causes real problems at filing time.

1031 exchanges let you defer capital gains tax when you sell one investment property and buy another, but the rules around timing, qualified intermediaries, and like-kind property are strict and unforgiving of mistakes - this has to be planned before the sale closes, not after.

Repairs versus capitalized improvements is a constant judgment call: a repair is deductible now, an improvement gets depreciated over years. Getting the distinction wrong in either direction either understates this year's deduction or overstates it in a way that doesn't hold up.

Short-term rentals have their own rule set that can differ meaningfully from standard long-term rental treatment depending on average guest stay length and your level of involvement, and multi-property owners often use one entity per property for liability separation, which adds real bookkeeping complexity if it's not structured cleanly from the start.