07/10/2025
🏡 Top Real Estate Benefits from the Big Beautiful Bill (2025):
1️⃣ 20% Income Deduction: Real estate investors get a permanent 20% deduction on net rental income!
2️⃣ Interest Deductibility: Full deduction for interest on real property trades/businesses is preserved.
3️⃣ 1031 Like-Kind Exchanges: Tax-deferred property swaps are here to stay—keep rolling over capital gains!
4️⃣ Opportunity Zones: Opportunity Zone tax breaks are now permanent + new rural zone incentives!
5️⃣ Mortgage Deductions: Mortgage insurance premiums are deductible again. $750k mortgage interest cap remains.
6️⃣ Affordable Housing: Low-Income Housing Tax Credit (LIHTC) gets a big boost—more funds for affordable housing.
7️⃣ Bonus Depreciation: 100% bonus depreciation is back for property improvements & equipment. Section 179 expensing cap raised!
8️⃣ REIT Perks: REITs can hold more assets & investors keep the 20% deduction on REIT dividends.
9️⃣ Lending Boost: 25% of interest income from certain real estate loans is tax-exempt for lenders, encouraging more loans.
🔟 Estate Tax Relief: Estate/gift tax exemption jumps to $15M—great for passing down real estate.
1️⃣1️⃣ Developer Wins: Developers can use completed contract accounting (no more phantom income!).
1️⃣2️⃣ Community Investment: New Markets Tax Credit is now permanent.
💡 These changes mean more investment, more affordable housing, and more opportunities for everyone in real estate!
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