Tax reform: will I lose my mortgage interest deduction

I have received this question from friends, family and clients a lot recently. Like many Americans, you are probably asking if you will be able to continue to deduct your mortgage interest. As with all tax questions, the answer is it depends. TCJA applies for tax years 2018 through 2025. In 2026, the pre-Act rules …

Keep Reading

Like-kind exchange: Tax Cuts and Jobs Act of 2017

Amid the myriad of changes in the new tax law, there is a change to what type of property can be exchanged under code Section 1031 as a qualified like-kind exchange. What’s changing? Under Code Section 1031, a taxpayer can elect to not recognize gain if he/she exchanges qualified property for similar qualified property, or …

Keep Reading

Residential rental licensing matrix: tax tips

Are you looking to purchase a residence to use as a rental property and you are unsure if you need to report and pay sales taxes for the city it is located in? Or maybe you are a tax professional who has a client asking you this question. In either case, I just found the …

Keep Reading

Like-kind exchange: talk to your CPA first

As tax accountants, there is nothing we like less than hearing about a transaction after it has already closed, for example, a like-kind exchange. When we are only brought in after the fact, there is often nothing for us to do but report what already happened. Tax planning is the most valuable service we can …

Keep Reading

Potential AMT risk for foreigners selling U.S. real estate

As the U.S. housing market continues to improve, many property owners are able to take advantage of the increase in property values and higher asking prices when they decide to sell. As such, sellers need to be aware of the tax implications when selling a home. Nonresident aliens especially need to be aware of their …

Keep Reading

Office vacancy rate in greater Phoenix lowest since 2008

2016 Third Quarter Greater Phoenix Office Highlights Below are excerpts from CBRE Marketview, Office, Q3 2016 and Collier International’s Research & Forecast Report Greater Phoenix/Office 3Q 2016. Vacancy In quarter 3 (Q3) 2016, net absorption in Metropolitan Phoenix reached 801,250 square feet (s.f.). For the fifth consecutive quarter, Tempe led all submarkets with 621,885 s.f. …

Keep Reading

Student Debt Impedes Ability to Buy a Home

The National Association of Realtors (NAR) recently polled student debt holders who had not defaulted on their loans. The majority of them graduated from a four-year public or private college. Below is a summary of some of the more interesting findings of the study. 43% of those polled had between $10,000 and $40,000 in student …

Keep Reading

Number of AZ real estate appraisers could decrease

The number of Arizona real estate appraisers could decrease at a rate of 3% per year over the next decade. According to the Appraisal Institute, the pool of real estate appraisers in the United States is shrinking and aging. Sixty-two percent of appraisers are 51 and older while 24% are between 36 and 50. Only …

Keep Reading

Greater Phoenix office market looking positive for 2016

Vacancy rates trended lower for fifth consecutive year in 2015 The chart below presents statistical data in the fourth quarter of 2015 for Class A, Class B and Class C office space in Metro Phoenix related to total inventory, vacancy, vacancy rates, net absorption, and average rental rates. Note that the Class A category had …

Keep Reading

Sales of New Homes in Metro Phoenix Surge in July

Many economists believe this year’s surge in homebuilding is beginning to look more and more like a real recovery of the Valley’s new-home market. New Home Permits Issued in July 2015 are 55% Higher than Prior Year The Phoenix Housing Market Letter published by RL Brown and Greg Burger reports that: New home sales were …

Keep Reading