When potential buyers start looking at vacation homes for sale Juno Beach naturally pops up as a popular destination for them. As far as varied offerings in real estate Juno Beach is hard to match — there’s literally something for everyone in this small-town-feeling community, from the smallest townhomes to luxury estates. But when it comes to vacation property, the usual methodology doesn’t take into account the possible tax advantages to owning a second home.
The key to taking advantage of them is to be sure your second home isn’t just a vacation home for you along — you need to rent the property out. Surprisingly, there are a number of tax deductions that are just for landlords, and if your vacation home is primarily set up as a rental property, you can take advantage of them too.
Tax deductions for rental property include interest on mortgages taken out both to purchase and to improve the property for rental — and that deduction also includes interest that accumulates on credit cards as a result of paying for goods or services needed for the rental process.
Depreciation of a rental property is also tax-deductable; essentially this means a portion of the purchase price of the property is deducted every year for several years until the full cost is met.
Landlords can also deduct the cost of any standard repairs needed to keep the property up to par for potential renters; they can also deduct the cost of travel to and from the property when specifically done for the sake of the rental activity.
Other deductions include the cost of various kinds of insurance, and even the cost of legal and professional services needed — on which note we’ll advise you to consult a tax professional before you file for any of these deductions.