Depreciation does not cover rent. (50% land). Help

[Mike H.]

Hello,

when I make the cashflow spreadsheet of almost any house (SFH, MF) around here (San Diego, California) I cannot manage to deduct enough taxes to cover rent.

Am I doing something wrong?

Most of the properties here are 50%land / 50% building according to 2015-2016 tax assessments. 

After deducting:

- depreciation 1/27.5*50%

- mortgage interest (3.5% w 20% down)

- repairs/maintenance/capex 

- insurance

I am always left with about 35% of rent income being taxed. Am I forgetting something?