My dad found out how much im paying in rent. And knows I can’t save shit cuz of student loan payments. We looked up my apartment building’s worth and I alone am paying almost half of my landlord’s mortgage. Dad basically said, “fuck your landlord. What if I help you buy a small house with my name?” I told him I was down if possible.

Turns out that he’d have a huge tax write off go away when he finishes paying his house — which is soon. The tax gist of it is that dad can buy a second home or apartment building and write off property taxes and interests paid if I’m living there.

So, now we’re realizing that the write off basically encourages ppl to buy shit. Then add the possibility of making money off tenants and bam: huge fucking incentive to buy apartments.

Luckily my dad hates the idea of ever collecting rent from ppl and he’s not out encouraging me to buy apartments or some other stupid shit. But I can imagine others seeing it as a cash grab —especially if they can cover the mortgage by leeching off renters or just make fucking money of em. Shit is so fucked. Holy shit I hate this country.

:the-more-you-know-png:

  • el_principito [he/him,none/use name]
    ·
    4 years ago

    I’m skeptical of it too.. but everything so far says yes.

    “ If you stay at the property for more than 14 days per year, or more than 10% of the total days in which the property was rented, then the second home is considered a personal residence. This means you can deduct mortgage interest and property taxes as you would with any home, but you cannot claim rental losses. If a member of your family uses the property (including your spouse, siblings, parents, grandparents, children, and grandchildren), those days count as personal days unless you are collecting a fair rental price during those family stays.” https://www.investopedia.com/articles/personal-finance/013014/tax-breaks-secondhome-owners.asp

    Gonna talk to a CFA before I move further. But it’s wild af.