14 Day Rental Rule: Tax Tip for Renting Out Your Vacation Home

By
Managing Real Estate Broker with Golf Life Properties, LLC

With any real estate purchase it’s important to understand the tax implications and if you’re thinking of buying a vacation home this season, you should be familiar with the 14 day rental rule.

It’s not unusual for vacation homeowners to rent the property to offset some of the expenses or to generate income, but the tax benefits to which an owner may be entitled depends on the number of days each year that the property is rented out.

One such benefit is called the 14 day rule also known as the “Master’s Exemption” because of it’s popularity in Augusta, GA during the famous April golf tournament. If your home is rented for fewer than 15 days per year, the income is tax-free. And there is no limit on the amount of rent you can charge.

Some owners are able to recoup month’s worth of property taxes, dues and other expenses with just a one or two week rental.

For more information on buying or selling a vacation home and tips on things to consider; contact Nishika Green direct: (410) 952-2641.

The purpose of this article is not to provide tax advice. Please contact your accountant or tax representative for details on your vacation home income and expenses.

 

Posted by
Nishika Green, REALTOR®
Licensed Real Estate Broker
(410) 952-2641 Phone/Text
 
Planning to buy or sell a luxury lifestyle residence? Or an investment property? Our team offers decades of experience and specializes in offering unparalleled resources to minimize (if not completely remove) the stress from a real estate transaction.

 

This posting with the content written here and photographs displayed are the intellectual property and opinions of Nishika Green of Golf Life Properties, LLC. Any party who uses this material without the permission of Nishika Green is subject to copyright infringement and possible lawsuit.

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Topic:
Home Buying
Location:
Florida Palm Beach County Palm Beach Gardens
Groups:
Luxury Properties $750k+
Vacation Home Rentals
Building Your Niche
Tags:
golf
vacation home
vacation rental
vacation rentals
vacation homes
14 day rental rule
golf club home

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Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Nishika- this is excellent information to know for owners who may want to handle seasonal rentals. 

Feb 10, 2017 11:16 AM #1
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