Mark Kohler breaks down which real estate jobs qualify as a "real estate professional" for tax purposes. Real estate agents, brokers, general contractors, and owners who manage or flip properties qualify. Real estate attorneys, transaction coordinators, plumbers, and electricians do not, even if licensed.
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What about the credential requirement for these write offs? Can one be an RE attorney to be eligible?
A real estate attorney is not going to be a real estate professional. I'm sorry. I handle real estate deals. I'm not a real estate professional. So generally, everybody, you're going to be a realtor, a real estate agent or broker, a contractor, general contractor. Managing your own rentals, fixing and flipping your own rentals. You don't have to be licensed, but I'm just saying those help. But you're in the real estate occupation. A hands on real estate managing it, fixing it, building it, repairing it, sell, selling it. That's a real estate professional. Real estate attorney? No. Transaction coordinator? Probably not. Plumber? No. Electrician? No. Got to be a GC.