Real estate investment

Real estate investment

Industry: Financial services

Add a new term

Contributors in Real estate investment

Become a Contributors

Real estate investment

Ordinary income

Financial services; Real estate investment

Ordinary income is gain taxable at ordinary rates rather than at capital gains rates, I.R.C. § 1(a)-(e), (h).

Ordinary loss

Financial services; Real estate investment

Ordinary loss is loss that is not subject to the deductibility limitations imposed on capital, theft, and other specially treated losses. Ordinary losses are fully deductible from gross income, ...

Over-improvements

Financial services; Real estate investment

Over-improvements consist of property on which the building value is too high with respect to the land value so that the building does not represent the highest and best use of the property.

Passive activity

Financial services; Real estate investment

Passive activity consists of a trade or business in which the taxpayer does not materially participate, or any rental activity. Losses and tax credits from a passive activity may only be taken ...

Payback period

Financial services; Real estate investment

Payback period is the length of time that it takes to receive cash flow and other economic benefits from an investment that is exactly equal to the initial cash investment.

Payout

Financial services; Real estate investment

Payout is the point at which the gross revenues from production in a group investment project equal the sum of all costs. Costs include expenditures for leasehold, exploration, development, ...