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Depreciation. It is the most beneficial deduction instantly estate! While your real estate is appreciating, you are allowed to depreciate it over living of the building, which is 27.5 years and take the deduction against your total wages. However, depreciation is allowed only against the building, land can not really depreciated. For example, a person's own your dream house thats worth 100,000, the price of the building might be only $80,000 and value of the land is $20,000. Thus, you are entitled to take depreciation expense against the c