Want to maximize your rental income? 💰

Most rental income is considered passive. We coming to us all the time. I bought a property this year, it's running month to month. Should I get a huge deduction? Well unfortunately most rental property income is considered passive income which the passive loss can only offset passive income. So your passive loss from this property can't offset your W2 income or even your business income. So how do you purchase real estate and make that real estate investment active? Well there's two main ways of doing this. One, the harder way is how having someone in your home be a real estate professional and that means they're spending 750 hours a year on real estate and that's a lot. That's like 15 hours a week in real estate. The other option which is more likely potentially is you a short term rental property, meaning that it's more of a vacation rental property and you're, you're renting it out seven days or less. So a week or less and some, and you or you know your spouse are managing that property.