All Forum Posts by: Denise Breheny

Thanks @Chris Seveney for your response.  Right now I have no tax benefits so even if my new benefit was for just only a mortgage deduction, wouldn't that almost mitigate the $10K over three years.  I know you can't provide tax advise, would a tax accountant be able to help me, is that where I need to turn?

I am now 3.5 years away from retirement and know where I want to retire. I found a new townhome development with affordable pricing on new build home. The HOA pays exterior and grounds maintenance, which I feel is a big plus for me. I would like to purchase a home there in a few months, but I do have some questions. When I look at the cash flow I expect it to be slightly negative (-$300/month) based on current rental rates in the area. This amount includes debt service, HOA, taxes, property management, repairs, vacancy, and insurance. I live in California and currently rent because of high home prices here, I am unable to own a primary residence. I make about $120K/year and I have no deductions so pay a ton of taxes. I am hoping that I would get some tax benefits to my income in this investment. Is this true? I would appreciate any advice.