What are the tax advantages of owning real estate?
What are the tax advantages of owning real estate?
Owning real estate offers several tax benefits, including deductions for mortgage interest, property taxes, and operating expenses. Rental property owners can also claim depreciation, reducing taxable income. Capital gains tax exemptions on the sale of primary residences and opportunities for 1031 exchanges (deferring taxes on investment property sales) further enhance the financial advantages of real estate ownership.