Tax Benefits Add Value To Real Estate 
If you are looking for a way to lower your income taxes, then there is no better
vehicle for tax benefits than owning real estate. I’m sure you’ve heard that
many of the super wealthy pay little or no taxes. Why? Because they own lots
of real estate and they maximize all of the allowable real estate deductions.
These tax benefits add incredible value to real estate acquisitions and
ownership. Being able to deduct things like mortgage interest, repairs,
property insurance, depreciation and other expenses can improve the return
on your investment.
Even small-time investors can reap large tax benefits by owning real estate.
You’re able to write off travel expenses to view the property and can often
even recoup more by deducting your home office. In fact, the first few years
of deductions can be greatly enhanced by optimizing cost segregation for a
property’s depreciation.
Simply put, cost segregating the depreciation is the process of breaking
down each depreciable component in the property like windows, doors,
appliances, heating and cooling systems, and depreciating them individually
based on their individual useful life. You will need to work closely with
your CPA to make sure it is done correctly, but it can save you, and your
investors, thousands in taxes over the first few years of ownership.