I'm pulling a quote from another thread to start this one (hope that's allowed):
The above being the case, it would seem to make much more sense to get a mortgage on a rental instead of refi-ing your primary and buying the rental with cash, is that right?
Not necessarily. The rent, mortgage interest, property taxes and depreciation of the two rent houses will be reported together on Schedule E, Rental Income.
For itemizing deductions, you'll include mortgage interest and property taxes on your personal residence... so you may be better off using the standard deduction (most people are).
The above being the case, it would seem to make much more sense to get a mortgage on a rental instead of refi-ing your primary and buying the rental with cash, is that right?