SC vs NC vs Puerto Rico

[Corey Hassan]

Hi all,

We're looking into potential STR markets and trying to better understand the different tax laws and benefits to one area versus the other.

We are considering NC, SC, Florida and Puerto Rico.

My questions are…
-Does anyone have a suggested website or breakdown on taxes for each state, including which state is best for STR?

-Are there any exemptions or tax breaks if we occupy the STR property for 1 week or 2 weeks per year for example?

-Which state would you recommend for our first STR - best state/area tax wise, rental income potential and best area in general to invest in our first investment property?

thank you!

[Aaron T.]

In Puerto Rico your tax benefits are limited. your income is earned income upwards of 30%+. STRs dont qualify for some of the ACTs down here. 

property tax and insurance in Puerto Rico is relatively inexpensive. 

If you decide on PR, talk to a real estate lawyer first.