Entire Mortgage Payment Be Written Off?
Can the entire mortgage payment be written off, or just the interest amount? I know that homeowners can write off the interest, but can investors write off the interest AND principal?
-Adam-
Just interest
Agreed
The principal component is not considered an expense since its amount is a gain in equity for you.
I personally do not care for "tenants in common"
RE investments. I do not like institutional investments of any kind. I also do not like large group investments. My dislike is amplified when something goes wrong.
The most stringent constraint with a 1031 is identifying the replacement properties within the 45 day window. One way to do a 1031 with some safety is to look for replacement properties before you sell the relinquished property. I traded an SFR for three properties located in a very strong sellers market last year and am currently working on a much larger exchange.
I hope this helps.
Regards,
Ed