My parents are in the process of closing on a condo in Brooklyn in their names. It will be 'rented' to me and a friend, but for less than the mortgage cost. My dad is currently planning to turn it into an LLC, and then the loss on the rent will be written off on taxes. I do not have the means to pay market rent/mortgage costs, the purchase is a kind of an investment/gift situation.
He also wants to essentially have this be a 'furnished rental'--i.e., they would buy the furniture, tv etc and write off the cost of that on taxes too. Is that possible?
Not quite a mustachian situation, but it's what I'm working with. I would just buy all used furniture if the write-off were not an issue.
Wondering if there's any wisdom on this topic here?
Thanks all!