You have mortgage interest deductions and you can do 1031 exchanges to avoid taxes on capital gains.

Usually, there is a checkbox on these forms for a declared total value - similar to the standard deduction on your taxes.

Repairs are deductible now.

The reason investors do it is to pull a larger portion of those deductions forward into the early years of ownership.So the decision tends to come down to a few questions:• Can you actually use the accelerated losses right now (REPS status, STR material participation, passive income to offset, etc.)?

Basically, if the reserves are underfunded and/or inaccurate, the "shortage", divided by the total number of units, is effectively a deduction of the market value of your unit.The monthly fee has NO useful comparison with other project's fees...there is no relationship with regard to project costs from one project to the next.You need to review the most recent Board meeting minutes to see if there is any discussion, or plans for a Special Assessment next fiscal year. 

That's when I was starting to consider, ok, maybe I need to start having these people have some skin in the game and provide some kind of deductible. 

I've been deducting 5% for potential vacancy and 35% for expenses from the NOI displayed on the website.

One of my favorite deductions to see for short-term rental owners is land improvements.Land improvements can make an STR significantly more marketable.

You would just use your schedule E with your HOA, insuraance. taxes added back in as well as the paper deduction of depreciation. 

If you live in one unit and rent two, roughly two-thirds of the property's depreciation, mortgage interest, taxes, and operating expenses are deductible against the rental income.