Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

Followed Discussions Followed Categories Followed People Followed Locations
Baltimore Real Estate Forum
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

User Stats

24
Posts
10
Votes
Asish Balu
10
Votes |
24
Posts

Tax Deductions on a House Hack before Roommate is found.

Asish Balu
Posted

Hey everyone,

Just bought my very first property in the Baltimore area. It's a 2B1B and I will be living in one bedroom while renting out the other.

To my knowledge, I can't deduct expenses related to my personal bedroom. For expenses relating to the room I'm renting, I can deduct 100% of the expenses. For expenses related to the common areas, I can deduct 50% of the expenses since I would occupy 50% of the house.

First of all, just wanted to make sure is this information is correct?

Second, can I deduct pre-roommate expenses such as:

- Home inspection

- Advertising the rental

- Appraisal fees

- etc.

My guess is that I can deduct anything directly related to renting the place (such as advertising and background checks), BUT I cannot deduct things like home inspection and appraisal fees which are unrelated to renting.

Is my line of thinking correct? House hacking definitely complicates my tax situation, and I want to make sure I'm getting the best refund I can. If you could point me to some guides/resources that go over house hacking taxes in detail, I'd appreciate it.

Thank you!

Loading replies...