vacation home


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Vacation Home

A residence other than the owner's primary residence that is used for vacations or other recreational purposes. A vacation home is often rented to tenants during times when the owner is not using it. For example, if a person in Connecticut owns a winter home in Florida, this is a vacation home and may be rented to other persons during the summer. Different tax rules apply for how much interest can be deducted and how much rental income can be declared, depending on how often the owner uses the vacation home, how often it is rented, and how often it is unoccupied.

vacation home

A second home used for recreational purposes. Mortgages for vacation homes generally have higher interest rates than those for primary residences because, if there is any economic difficulty, the property owner is more likely to stop making payments on a vacation home than on a primary residence.Vacation home mortgage interest is deductible the same as for a primary residence, but under current tax law there is a $1,000,000 cap on the amount of debt generating deductible interest.The sale of a principal residence will not result in current income taxes if the gain is less than $250,000 for single persons or $500,000 for married people, but this exclusion does not apply to vacation homes. If the vacation home is used for rental income, there are limitations on your personal usage if you want to deduct rental expenses, including depreciation.
References in periodicals archive ?
Considering all of the privacy and amenities offered with every home, these vacation home rentals near Disney in Orlando or any place else are worth the value.
Alternatively, many vacation home rentals fall victim to the less-than-seven-day rental-period exception to the passive loss rental activity rules.
The tax case included rental income from a vacation home that was rented for fewer than 14 days.
Such a trend weakens the long-term demand for vacation homes, suggests NAHB analyst Paul Emrath, "since having a place to take the kids is one of the principal motivations for buying a vacation home.
Online booking and real-time availability calendars are the latest benefits that VacationRoost has introduced to help consumers easily book vacation homes.
Larry can then offset all of the gain from the sale of the vacation home with his capital loss carryforward.
Income from renting a vacation home usually is includable in a taxpayer's gross income.
Those searching for idyllic vacation homes can select between deluxe, superior and estate models.
and ALL STAR Vacation Homes will represent the resort's 2, 3 and 4-bedroom condominiums, as well as provide on-site management of the resort amenities at Lighthouse Key Resort & Spa.
Any vacation home for sale in Kissimmee, Reunion & Celebration is guided and managed by the owner of Orlando Vacation Homes Realty owner, Terry Pyle.
Guests enjoying ALL STAR's comfortable vacation home furnishings and amenities can take their relaxation to the next level by ordering an in-home massage.