hello again. Since first posting I've found this community to be a safe haven for all money situations and a lot of brilliant responses from brilliant people. So here I am again.
I recently bought a house for $500k+ in Westminster, CO. I got a 2.75% interest rate on 30 years fixed. I put 10% down and pay PMI.
I also decided to help a friend out and let him move in rent free plus a little bit of money for usages of things. $200 / month is what we figured would cover that. In exchange he would help my finish out my basement so I can rent it to others in the future.
I was reading the comments on the latest MMM post and came across this nugget:
"Will admit that the unconscionable tax subsidies for landlords appeal for those with a large separate income. Hope Colorado isn’t in a rental bubble because of Covid. Sure looks like too high a rent to household income to me, but these things can keep going a while."
I happen to have a large, separate income. Am I missing some kind of tax arbitrage that I could be doing because I'm now a landlord?
