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7 Tax Benefits of Owning a Rental Property in Washington, DC

Nest DC

Depreciation Depreciation is another crucial tax benefit for rental property owners. The Internal Revenue Service (IRS) allows landlords to deduct the cost of the property over a specific period, typically 27.5 years for residential properties.

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Property Management Profitability: FAQs on Profit Margin

Second Nature

We've worked with hundreds of residential property management companies and seen a wide variety of profitability levels, Daniel says. In 2017, the average profitability in the property management space was 6%, and the top 25% of performers profitability was 25%.