hopefullyoneday
Recycles dryer sheets
- Joined
- Dec 2, 2017
- Messages
- 247
Wife and I purchased what we want to be as our retirement home. We will retire in about 7 years. It is a 2 br 1000 sqft townhouse with lakefront. We go there about a week every other month and love it. But my monthly costs are about $1200 which includes everything from mortgage to poa dues. We have rented it out using a management co. and have yet to make a profit from the rental proceeds. It is rented as a short term rental although i have rented for a month at at time. It is located in hot springs village AR. which is a very popular place to visit. I know that i can write it off as a loss and help lower my primary job income which then i pay less taxes, but is it really worth renting it out since if i ever sell it i have to pay a 25% tax recapture from the depreciation i have claimed on it. For now we don't see a reason to sell anytime soon. Is there any other advantages to renting it out that i am not seeing. I hear allot of people making money from rentals but don't see how i am going to do it. My place is priced competitively and rents out more than any other in my area. Any words of wisdom, any suggestions on how to sell in the future and not have to pay the depreciation tax i claimed. Thanks