The Trump administration added Bonus Depreciation in 2017 in the Tax Cuts and Jobs Act (TCJA), which allowed you to depreciate items with a “life” of less than 20 years all into year 1.

But the current administration has mentioned limiting the time frame on benefits .

For your first investment, it may not be worth the administrative headache to have an LLC. 

@Peter Mckernan Thank you for pointing out the fee issue—that's really helpful.My opinion: Additional "technical/administrative fees" should not exist; core tasks (portal, communication, reporting) belong in the basic administrative fee.

I do this in partnerships with SDIRA custodians/administrators.

That said, I had a client who originally used a holding LLC with separate entities but dissolved it because it became too administratively burdensome.

In contrast, a number of landlords here in Indianapolis were facing foreclosure because IMH, our local Section 8 authority, hadn't paid rent in many months.FWIW, the Trump administration recently floated the idea of a 2-year cap on Section 8 vouchers.

The draw process was slow and they had a poor construction loan administration process.

Professionally, I am in business administration for a wealth mgmt company (CA) and my fiancé is a data scientist/technical analyst for an auto company (NJ).

It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (100% now in 2025) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2024 it went down to 60%.