- The Money Dad
- Posts
- Unlocking Tax Benefits as a Real Estate Professional: Deducting 100% of Losses Against W-2 Income
Unlocking Tax Benefits as a Real Estate Professional: Deducting 100% of Losses Against W-2 Income
Unlock 100% real estate loss deductions against W-2 income. Learn IRS rules, REPS qualifications, and tax-saving strategies for real estate professionals.
Kevin Murray
March 13, 2025
In partnership with
Money Dad’s Family Financial Fuel
Looking for unbiased, fact-based news? Join 1440 today.
Join over 4 million Americans who start their day with 1440 – your daily digest for unbiased, fact-centric news. From politics to sports, we cover it all by analyzing over 100 sources. Our concise, 5-minute read lands in your inbox each morning at no cost. Experience news without the noise; let 1440 help you make up your own mind. Sign up now and invite your friends and family to be part of the informed.
One of the most advantageous tax strategies for real estate investors is qualifying as a Real Estate Professional (REP) under the IRS guidelines. This designation allows eligible taxpayers to deduct 100% of their real estate losses against other forms of income, including W-2 wages. Here’s a comprehensive guide on how to qualify as a real estate professional, the benefits of doing so, and strategies to maximize these tax advantages.
The Basics: What Does It Mean to Be a Real Estate Professional?