Tag Archives: rental real estate

Pay Off or Refi?

  Today TaxMama hears from Tom in the TaxQuips Forum with an interesting problem. “I have a $270,000 mortgage on my primary home.  It is a 30-year loan at 5 3/8% fixed. My home is worth substantially more.  Should I refinance at today’s rates? I could pay off the loan, but that would drain our […]

Rental Losses

Today TaxMama hears from Eileen in Portland, OR whose client was audited for her rental property, “IRS disallowed her $25,000 rental loss claiming this is a Passive deduction for her. IRS says she may deduct expenses only up to income on the property. True, she is not a real estate professional and she does have […]

Owning Rental Property

Today Donna from California did some research. “I’m interested in starting a small business in real estate centering around purchasing the property and renting it to tenants. But to my dismay I recently read that the IRS does not consider that a business. Is that true? I also read that this is a “gray” area. […]