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Updated 3 months ago on . Most recent reply

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James Carlson
  • Real Estate Agent
  • Denver | Colorado Springs | Mountains
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2,473
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Colorado STR Bonus depreciation win

James Carlson
  • Real Estate Agent
  • Denver | Colorado Springs | Mountains
Posted

Just heard from a past client who created a unique short-term rental experience at this Colorado A-frame. He went through cost-segregation to capture the bonus depreciation as an STR and ...

He saved more than $30,000 on his taxes.

I see some YouTubers implying the "STR Loophole" is best for high-income earners and larger properties. Sure, the higher-priced the vacation rental, the more bonus depreciation you likely can write off. But I think this couple's experience shows that there's still a lot of benefit to gain even with smaller properties.

They're now put that savings toward a downpayment for their next Airbnb. Smart tax strategy can have compounding effects. 

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James Carlson Real Estate

Most Popular Reply

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Collin Hays
#3 Short-Term & Vacation Rental Discussions Contributor
  • Property Manager
  • Gatlinburg, TN
4,145
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2,881
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Collin Hays
#3 Short-Term & Vacation Rental Discussions Contributor
  • Property Manager
  • Gatlinburg, TN
Replied

Trying to figure out what makes this a loophole. It's simply tax law.

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SMOKY MOUNTAIN FALLS INC.
5.0 stars
1 Review

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