Real Estate Investors Capitalize on IRS Tax Benefits

Mooresville, NC, October 30, 2008 --(PR.com)-- While the stock market is in crisis the real estate market begins to look even better. A flood of foreclosures and bargain prices can be quite the incentive to snatch up homes that are amazing bargains. The federal government wants to make sure you agree.

Brandon Smith was recently interviewed on Get Real, The Real Estate Investing Show for the Rest of Us. In his interview he outlined quite a few ways that real estate investors can cash in on IRS incentives only designed for real estate investor. Many people are aware of basic deductions such as depreciation on a property but few look deeper into the immense benefits of being a real estate investor. The types of things that the stock market does not afford you.

As Brandon mentioned the government has recently upped their desire to move houses off of the current market. There is a first time homebuyer credit available for first time buyers, as Brandon defined is someone who hasn’t purchased in the last 3 years. A first time homebuyer is entitled to a $7,500 tax credit. Tax credits are actual cash to the taxpayer a dollar for dollar discount.

Mr. Smith spoke with Get Real about pending legislation designed to incentivize investors to purchase foreclosed homes from banks. Currently the legislation is pending approval but may include up to $7,000 in tax incentives for real estate investors.

Finally Brandon emphasized the need for real estate investors to not only run their business well but also plan for tax purposes. He recommends keeping your accountant in the loop throughout the year so that decisions can be made ahead of time instead of fixing mistakes later. Real Estate Investors tax breaks can be a large part of their business and working with a qualified accountant is essential.

For more information about real estate investing and this interview visit www.getrealrei.com and follow the latest podcast link. Get Real is a top iTunes business podcast that focuses on providing realistic real estate investment news and tips for the individual investor who wants to understand creative real estate investing techniques.

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