- Involved In Real Estate
- Littleton, MA
- Votes |
How does investing out of state impact your tax status?
I've been investigating doing real estate investing out of state, since where I live (Massachusetts) is not only an overpriced real estate market but notoriously landlord unfriendly and hostile toward small business in general.
I've been looking mostly at markets in Florida (Orlando area, for example) and Texas (around Houston) because I know that they are, for the most part, business friendly but more importantly they don't have state income taxes.
But there are other markets that look attractive as well. Take Ohio for example, there are a few markets there that look good, Cleveland or some of the smaller cities. But, they have a state income tax code that defines the meaning of the term byzantine. At least it looks like that for an outsider.
If I bought a property in Ohio and rented it, then I'm going to have to file in Ohio too? It would seem to take a lot of wind out of the sails of the idea of investing there.
Out of state investors, tell me your experiences! :)