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Depreciation is a unique financial concept in real estate investing, distinct from other expenses. It allows you to deduct a certain amount from your rental income for tax purposes, effectively reducing taxable earnings. However, unlike immediate expenses such as property taxes or maintenance costs, depreciation must eventually be "recaptured" or paid back when you sell the property. This is a critical detail for property owners to understand-depreciation provides a temporary tax benefit that impacts future profits. 🏠💼📉 #RealEstateInvesting #TaxTips #Depreciation #PropertyManagement #FinancialPlanning #InvestmentStrategy
Check out the full length video on KZfaq: • Is Depreciation Overat...