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Video: Can you depreciate that stock?

By
Managing Real Estate Broker with HomeUnion CalBRE Lic# 01526904

So the message is clear. Stop occupying Wall Street and consider buying a piece of Main Street. Own a real asset and not Enron and one that comes with great tax benefits.

Investments should primarily be made based upon your financial goals, your stage-in-life savings that you have, your risk-orientation and so on. But at the core of it all, you are looking for the best return for the amount of risk that you are willing to tolerate. The stock market has many flavors for you, e.g. growth stocks which are stocks that may rise rapidly but carry a degree of risk; income stocks which are those that throw out dividends and so on. Your adviser will ask you to divide your holdings based upon your risk profile. You make money when you sell, or from dividends and there are no tax offsets other than prior losses. To get a capital gains treatment you have to hold that stock for over a year, else you are taxed at ordinary rates. Uncle Sam rules you.

Watch the video to find out how depreciation rules apply to investment properties.

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