CPAs often miss that passive losses from multiple rental properties can be pooled together to offset a gain from selling any single property. This aggregation strategy can significantly reduce taxable profit on a sale.
The misconception from most CPAs is that, oh, I can only use the losses from that property to offset the income or gain. That's not true. So you can use all losses you have, even if you've got 5 properties and you've got one big sale on one property. All of this pool of losses, even if it's across 5 properties, could be used to offset that one property's gain. So it's kind of this pool of passive losses and a pool of kind of passive profit or gain.
