Connections for Success


Real Estate


Pass-Through Entity Taxes Can Pay Off For Real Estate Firms
Justin L. Sylvan

The Tax Cuts and Jobs Act of 2017’s (TCJA’s) limit on the federal income tax deduction for state and local taxes (SALT) has proven costly for many owners of real estate businesses. However, more than 30 states1 have now enacted a workaround for pass-through entities (PTEs) that could provide some welcomed tax relief. The Impact […]


High Mortgage Rates Hamper Housing Market Outlook
Justin L. Sylvan

The U.S. home market has struggled throughout 2023, burdened with 30-year fixed mortgage rates that passed 8% for the first time since 2000. The high rates have been one of the reasons that buyers have faced a historically unaffordable market. Rates have retreated a bit since that peak, but what does the future hold for […]


Renting vs. Buying in Today’s Home Market
Alexandra K. Isdell

According to the Census Bureau, the U.S. homeownership rate has consistently hovered around 66% for some time, but this does not mean purchasing a home—rather than renting—is the right choice for everyone. The decision to rent or buy is one that can cause heated debates, and while the American Dream was to own a house […]


IRS Audit Issues for Real Estate Owners
Thomas Kosinski

In recent years, the IRS has audited only about 0.5% of individual income tax returns. Their audit choices have been more high net worth returns and larger businesses with more tax issues. However, based on recent tax legislation, the government has provided more IRS funding to help close the tax gap — the difference between […]


Real Estate and Divorce: Here is What You Need to Know
Joshua Goldschmidt

In many divorce cases, real estate assets are among the most valuable at issue, whether they are limited to the couple’s principal home or include investment property. Numerous factors come into play when determining how such assets will be divided. Read on to learn about some of the most critical real estate assets. Marital vs. […]


Walking Away from a Real Estate Contract: How Is a Forfeited Deposit Treated for Tax Purposes?
Ryan Kertes

Often, when a real estate deal falls through, the buyer forfeits the down payment or deposit. When this happens, what are the tax implications for the buyer and seller? The answer, as with many tax questions, is “it depends.” In this case, it depends on whether the property is considered a “capital asset.” Internal Revenue […]


Growing Cybersecurity Vulnerability in Real Estate and Construction Industries

In the last few years, real estate and construction leaders have made great strides to implement modern technologies into their regular practices. While these advances have uncovered additional efficiencies in the chain supply, performance, progress, logistics and safety, their adoption has created a critical vulnerability: Data security. Different studies confirmed that more that 75% of […]


Restructuring Mortgage Debt? Watch Out for COD Income

In tough economic times, real estate owners and investors often work with their lenders to restructure mortgage debt. Lenders may be willing to reduce the interest rate, extend the repayment term or even forgive a portion of the debt. These modifications can provide welcome financial relief, but it is important to understand the tax implications. […]


Deferring a Tax Hit With a Section 1031 Exchange
Adam M. Levine

Do you own commercial or investment real estate that has substantially increased in value? If you sell the property, you may be hit with a huge capital gain tax liability. A possible solution: Consider a Section 1031 exchange (also known as a like-kind exchange) in which you swap qualifying properties while paying zero or little […]


First-Year Bonus Depreciation and Section 179 Expensing: Watch Out for the Downsides
Kathy Z. Jeziorski

Many companies are eligible for tax write-offs for certain equipment purchases and building improvements. These write-offs can do wonders for a business’s cash flow, but whether to claim them is not always an easy decision. In some cases, there are advantages to following the regular depreciation rules. So it is critical to look at the […]

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