Real Estate: An In-Home Business, With Tax Write Off Perks

One of the best parts about being a real estatebusiness. It is easiest, then, to have a separate line
agent is that you have the power to be your ownfor your office instead of using the same land line
boss. You may align yourself with a specificyou do for the house (this will also minimize the
over-arching company, but in the end you call thenumber of calls and messages not received because
shots. You determine the hours you work - you canof family miscommunication). All of your office
do paper work at 5 at night, 5 in the morning or overfurniture and supplies can also be written off. The
lunch. You determine how hard you work and, as adesk and chair, the lamp, the pens, the files and the
result, how much you make. And quite often, youfiling cabinet are all potential write offs. Hang on to
can determine where you work. This means you canyour receipts when you purchase them to make
work in your home, and when you set up a businessdeducting the cost as easy and accurate as possible.
in your home, you have the added perks of taxStepping outside of the office provides additional
write offs. But those write offs only benefit you ifopportunities for write offs. Every time you get in
you know what you’re doing.your car and drive to a home, condo, commercial real
First, know how to set up your business so that it isestate lot or any other work-related destination, you
legitimately tax deductible. Your office space shouldare covering miles that can be written off. Keep
be just that: office space. You cannot use that areatrack of the odometer. The miles to and from your
for anything other than business. It shouldn’thome to a homeowners or a seller’s will add up
double as your TV room, your kids’ playroomquickly: Texas is a big state; Austin is a big city.
after school, your kitchen or your bedroom. ThisYou’ll be surprised how much you can deduct
needs to be your place of business, not leisure. If thecome tax day.
majority of your work is off-site, at a home on theFinally, be honest. It may be tempting to write off
market you are showing for instance, but you doeverything you can imagine as a business expense,
your paperwork and handle all other meetingsbut your mother’s visit for lunch isn’t a
in-house, you can still write off the space. When youbusiness meeting. You may get away with claiming it
do write it off, be sure to do so properly. If yourwas  once or even a handful of times, but
office is half of your apartment, deduct half of youreventually, the IRS will catch wind, and every
rent. If your office is one-tenth of your house,deduction you’ve made will come into question.
deduct ten percent of your mortgage.Take advantage of the deductions available to you
Within that space there are also numerousas a real estate agent running your own business in
deductibles. Your phone bill, for example, can beyour home. Do not take advantage of the
written off, provided the calls you make on it are forgovernment.