Tax implications of renting below FMV in ATL

[Carrie Aldridge]

Looking for advice or credible resources on understanding the tax implications of renting below fair market value (FMV).

Background:I'm considering purchasing my mother's condo and renting it back to her for below FMV for as long as she wants to stay in the unit (est ~8-10 years). I plan to rent the unit at FMV once she decides to vacate. Financially this benefits me in the long run (since she will be transferring me equity in an appreciating asset that she will pay the mortgage on) and she gets to age in place within her fixed income. I understand I will not be able to leverage some of the tax benefits available to traditional landlords while I am renting to her and want to understand 1) what I am missing out on and 2) any legal, creative ways to access the rental tax advantages.

Thanks for your thoughts!