Is my Rental Property Tax Deductible

Investing in a rental property can offer numerous benefits to individuals looking to build wealth, generate passive income, and diversify their investment portfolio. There may be benefits, such as:

  • Steady Income Stream
  • Appreciation in Value
  • Tax Benefits
  • Portfolio Diversification
  • Equity Building
  • Hedge Against Inflation
  • Control Over Investment
  • Passive Income


As tax season approaches, a popular question we receive about owning Rental Properties is…

“Is My Rental Property Tax Deductible?”

The idea of turning their home into a source of rental income is highly appealing. However, when it comes to taxes, enthusiasm may quickly turn to confusion.

In the flowchart we have attached below, we go through the different variables and tax concepts you may face, such as:

  • Recognizing how your personal use of your rental property could impact its taxation.
  • Being aware of how specific qualifying conditions may affect the classification of your rental property and how that may affect your overall tax situation.
  • Determining the amount of rental income and expense that needs to be reported on your tax return.
  • Understanding the possible tax treatment of rental losses and the implications for your financial plan.



Is my Rental Property Tax Deductible Flowchart Image


Contact us today if you have any questions about your rental property!





Because investor situations and objectives vary this information is not intended to indicate suitability for any individual investor.

This is for informational purposes only, does not represent legal or tax advice does not indicate suitability for any particular investor, and does not constitute an offer to purchase or sell investments. Please consult the appropriate professional regarding your individual circumstance.

Advisory services are offered through Asset Strategy Advisors, LLC (ASA). Securities are offered through representatives licensed with either Concorde Investment Services, LLC (CIS), member FINRA/SIPC. Insurance is offered through Asset Strategy Financial Group, Inc. (ASFG). ASFG and ASA are independent of CIS.

© Licensed for the sole use of Asset Strategy. All rights reserved. Used with permission. Updated 12/01/2023.

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