Real estate tax strategies, REPS tips, and time-tracking insights—straight from the creators of the REPSLog app.
Without W-2 hours competing against your real estate time, the REPS more-than-half test becomes dramatically easier in retirement. Retirees who own rental properties are often ideally positioned to qualify —…
REPS claims are among the most frequently audited positions on individual tax returns. The IRS wants evidence you logged 750+ hours, passed the more-than-half test, and materially participated. This guide…
REPS and 1031 exchanges are two of real estate’s biggest tax tools — but their interaction raises questions investors and CPAs often get wrong. What happens to suspended passive losses…
Bonus depreciation is one of the most powerful tax accelerators for rental investors — but 2026 marks a critical transition year as rates phase down to 20%. This guide explains…
Real Estate Professional Status unlocks rental losses — but cost segregation determines how large those losses are. Together, REPS and a cost segregation study can generate six-figure tax savings in…
Tax advantages in real estate don’t happen automatically — they require knowing which strategies apply and executing them correctly. This overview covers the six most impactful moves for 2026 investors:…
Filing a REPS claim without verifying each qualification element is a costly mistake — and REPS is one of the most audited positions on high-income returns. This 10-point year-end checklist…
STR investors can prove material participation through the 500-hour test or the 100-hour comparative test — but choosing the wrong one creates unnecessary risk. This article explains when each test…
Most STR investors track their own hours but forget an equally critical piece: the hours of every contractor, cleaner, and property manager. Under Test 3 for material participation, your hours…
Does travel time to your rental properties count toward the 750-hour REPS requirement? Sometimes yes, sometimes no — and the distinction matters. Tax Court cases have established clear patterns for…
For STR investors pursuing the loophole, the 100-hour comparative test (Test 3) is often a more achievable path to material participation than the 500-hour threshold. This article explains how the…
REPS and the STR loophole both convert rental losses from passive to non-passive, but they work through different mechanisms and suit different investor profiles. This head-to-head comparison covers qualification requirements,…
Paying your children for real estate work is one of the most underused tax strategies for rental investors. Done correctly, it shifts income to a lower bracket, creates a deductible…
The passive activity loss rules under IRC Section 469 determine whether your rental losses can offset W-2 income — or sit trapped on your return. Every real estate investor needs…
REPSLog has integrated with ChatGPT, allowing users to log their real estate hours by simply describing their activities in plain English. This streamlines documentation, enabling users to create entries without…
The 7-day rule is the gateway to the STR tax loophole: if your average guest stay is seven days or fewer, the activity isn’t treated as a rental under IRS…
Qualifying for REPS takes similar effort regardless of how good your properties are — but the tax savings differ dramatically. Smart investors choose properties that maximize losses through depreciation and…
Stay-at-home parents have one of the clearest paths to Real Estate Professional Status — no competing W-2 job means the more-than-half test is much easier to satisfy. This month-by-month roadmap…
The IRS doesn’t provide an official form for the REPS grouping election — you have to draft your own statement and attach it to your return. This post provides a…
The REPS grouping election is often called a no-brainer — but it’s irrevocable, and four specific scenarios can turn it against you. From selling a property at a gain to…
Physician households are among the best candidates for Real Estate Professional Status — a high W-2 income pairs powerfully with a spouse who qualifies for REPS. Learn how the spouse…
Missed the REPS grouping election on your original return? Revenue Procedure 2011-34 provides a path to file late — but only if you meet four specific conditions. This post explains…
Spousal hours are one of the most misunderstood areas of REPS — and the rules are different depending on which test you’re applying. Only one spouse needs to qualify, hours…
Most investors focus only on tracking real estate hours — but the REPS more-than-half test also requires proof of your non-real-estate working time. If you have a W-2 job, failing…
The tracking method you choose shapes whether your REPS log survives an audit or falls apart under examination. This side-by-side comparison of five approaches — paper logs, spreadsheets, calendar apps,…
Holding a real estate license doesn’t automatically make you a Real Estate Professional for tax purposes. REPS is determined annually by hour tests, not by credentials. Full-time agents have a…
Using a property manager doesn’t automatically disqualify you from Real Estate Professional Status — but it does make qualification harder. Learn which oversight activities still count as your hours, which…
Out-of-state rental properties don’t disqualify you from REPS — the tax code only cares about hours, not geography. But distance creates real documentation challenges: how to log remote management, handle…
There’s no legal minimum number of properties to qualify for REPS — you can do it with just one. But portfolio size dramatically affects how credible your hour claims look…
House flipping hours count toward the REPS 750-hour threshold, but the tax treatment of flip profits is very different from rental losses. Learn exactly how flipping fits into the REPS…
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