Top Year End Tax Saving Tips For Real Estate Investors

Blog December 22, 2017 By Admin

What smart tax saving moves should real estate investors be making before the end of the year?

Time is running out to clock up tax deductions, breaks, and write-offs. It’s vital to remember that it is not how much you make that is most important, but how much you get to keep. Taxes are the make or break factor in that. How much you pay in taxes can make a double digit difference in your net each year, and far more when you compound the gains on what you can reinvest each year. Here are some smart moves to make now in order to slash tax exposure, and boost your bottom line…


Realty Biz News reminds us that donating to charity can create tax deductions. It’s not the best reason to give and help others, but if you’ve been wanting to do some good, then definitely do as much as you can before the end of the year, and keep those receipts. Spend Making smart tax moves doesn’t have to mean sacrificing other things you want to do in life, business, and investing. In fact, this is a great time to clock up expenses. Travel, entertainment, attending events, education, upgrading devices, and making over your office may all qualify as breaks and deductions. You may even find more breaks by pre-paying for items for the new year. That may include pre-booking travel, paying for contracts and wages, office materials, etc. According to Fox News coverage of the massive new tax reform bill, this does not include prepaying for 2018 tax liabilities.

Max Out Your Retirement Investment Contributions

Maxing out 401k and IRA contributions is one of the best ways to get a quick tax deduction, and put money back in your pocket. By doing this you are effectively getting paid to invest. Depending on the type of retirement account you are using, those funds can go on earning returns with deferred taxes, or even tax free for life. This is a good time to check with your CPA, and see if there is a better type of self-directed retirement account, which may allow you to contribute far more than the standard rates too.

Get Your Paperwork Together

One of the biggest reasons investors lose thousands in deductions each year is that they simply don’t get all their paperwork together. In the mad rush at the last minute for tax filing time, they just miss a lot of it. Don’t let that happen to you. Stay organized, be prepared early. It will pay for itself.


Investing in real estate can help create a wide range of deductions and breaks. This year a record number of property owners may put their homes up for sale, and be in a rush to sell, and restructure their finances ahead of losing deductions on higher priced homes.

Reduce Your Property Taxes

Try to keep all of your properties under the new property tax deduction limits, and avoid overpaying by appealing your bill with the help of Property Tax Adjusters, Ltd.