Sound the controversy bells! Politics, economics, and real estate ahead!
Except—wait a second. What is this odd intersection of liberal economic arguments and Trump’s tax proposal? Something strange is afoot.
The Trump tax plan would in many ways level the playing field between renters and homeowners, something that liberal economists have been pushing for decades. Of course, that’s not necessarily good news for homeowners, investors, and the real estate industry at large. Look no further than the National Association of Realtors spending $10.2 million in the first quarter this year, lobbying Congress against proposals like Trump’s. (That lobbying budget was second only to the U.S. Chamber of Commerce for a single organization.)
And what’s this about a depressive effect on home values, particularly in pricey cities like San Francisco and New York? What’s going on here?
Let’s take a deep dive into some of the weirder implications of Trump’s tax plan for homeowners and real estate investors. You may or may not like what you find, but you’ll probably be surprised by it.
Investing in real estate can be a great way to make some extra money or even support your long-term financial well-being into retirement, but it’s also a costly venture. Those in the know, however, understand that they can offset many of expenses associated with real estate investing through tax deductions. From mortgage interest to repairs, there are many accepted deductions for savvy property owners.
Do you know what deductions you should be taking on your properties? Here are five high-value deductions you don’t want to miss out on.
5 High-Value Tax Deductions Real Estate Investors Shouldn’t Miss
1. Interest Paid on the Mortgage
Very few real estate investors have the capital on hand to purchase properties without taking out a mortgage, and you shouldn’t be penalized for that. That’s why it’s an accepted financial practice to deduct interest paid on the mortgage on your taxes. If you pay any part of the utilities for your rental properties, you can also deduct those costs.
This week veteran real estate investor and property manager Larry Arth discusses what he sees as 7 real estate investing trends For 2017.
He says optimism is strong but watch these 7 trends.
By Larry Arth
I have held many discussions with investors, builders, buyers and sellers heading into 2017, and their consensus, as well as everything I have read, leads me to this conclusion:
Real estate investing over the next three years will bring slow and steady increases similar to what we saw in 2016.
Now you may be thinking we are navigating unchartered territories with all the changes happening in the political scene. You may see a mixed bag of information making it difficult to assess your investment strategy.
Many are asking, “Why do so many people have such a different perspective on what the market for real estate will look like?”
The reason is because real estate is a broad topic and no one answer can cover such a broad question. Just as a national weather forecast is not much help in your neighborhood, you also cannot give a national real estate investing forecast. That is why you are seeing such a broad array of ideas as to what the investing landscape will look like.
Now that Donald Trump baffled most of the pundits to secure the U.S. presidency, a host of people from different industries are beginning to study how the Trump administration’s policies will affect them and the overall U.S. economy over the next four years and beyond.
Those in the apartment industry are trying to get a beat on how the economy might look, with its effects on the U.S. job market and the atmosphere for investments. Jobs are sure to be a focal point, as one major factor in Trump’s victory was that his message about job creation resonated with blue-collar workers in the Rust Belt who have voted Democratic in the past.
The company speculates that the construction labor workforce may constrict given the President-elect's immigration stances.
- - Zillow predicts 2017 will mark a new stage of the post-recession housing recovery and the company expects recent trends to reverse course next year.
- - New-home buyers could face increased building costs if President-elect Trump follows through on his tougher immigration policies, which may worsen the construction industry labor shortage, according to the company.
- - Zillow also anticipates continued but slowed home price growth (3.6 percent over the year), decelerated rent prices, homeowners seeking affordable housing further from urban centers, and an increased homeownership rate driven by millennial buyers.
Each year around this time, the industry tries to gauge where we are headed in the next year. Will this be a groundbreaking year in property management, or business as usual? While it’s hard to make concrete predictions, one thing is certain: Technology will have a major impact on the way property managers do their job and engage with renters, real estate agents and maintenance teams — more than ever before.
Here are three predictions about how technology will change your job in 2017.
Our topic today is renting your home out versus selling it. We wanted to give you a few tips and things to consider if you’re in a situation where you have to make a decision quickly about whether to try and sell your home or rent it out.
First, ask yourself if you can afford to sell. We’re in a market now where property values have come down in the last few years. While those property values are staring to improve, owners are often finding they owe more than their homes are worth. So you have to understand that if you sell, you might be losing money. Are you willing to lose that money and come to the closing table with the funds necessary to pay off your mortgage?
Everyone who wants to invest in real estate is always looking for ways on how they can get the best value for their money. There are several ways to be successful in real estate, but you need to consider a lot of things in order to get the most out of it. The problem is that there are a lot of people who are not aware of the things that they can do in order to get better results without spending a lot of time and money. Read on to find out how you can get the best results when buying a real estate property.
There are many strategies that you can utilize to profit on foreclosures regardless of what stage the homeowner is at. Many investors leave money on the table simply because they are only familiar with one or two methods that they can profit on deals. This is where investing in your education can result in a significant increase in your bottom line.
The foreclosure process is a complicated process. However, the strategies that you can use to profit from foreclosures are relatively simple. The key is to know where the homeowner is at in the process and know what options are available to the homeowner.
Making a purchase or renting the right kind of property is a difficult task. You may purchase any property, such as a holiday villa or condominium in your favorite tourist destination, but the main question that arises here is where to get the perfect real estate rental that shall meet all requirements and give adequate and huge returns in the future. Usually realty is purchased with the sole motive of making profits and hence it is important to see that the property fetches a good return in the future. There may be many kinds of factors that you need to consider when you are deciding to hire a property. Here are some tips that shall help you to get a real estate rental that can give some valuable returns for your property.