FHA guidelines have been set requiring borrowers to qualify according to established debt-to-income ratios. In most cases, the highest debt-to-income ratio acceptable to qualify for a mortgage is 43%, although many larger lenders may look past that figure.
If you paint the rental yourself, deduct the cost of paint. Painting a rental property is not usually a depreciable expense. In most cases, however, you can write it off as a deductible business expense instead. The IRS divides any work you put in on your rental into improvements and repairs.You claim the total cost of repairs on your taxes, but depreciate improvements.ou write off the cost of improvements on your taxes by depreciating them over 27.5 years. Repairs are projects that bring the rental back up to a usable level: Plumbing jobs, painting, fixing broken windows and fixing broken stairs.
Tax Deductions on Rental Properties. You claim rental income and expenses on Form T776. Include rent collected from tenants as rental income in the current tax year. Claim tax deductions for any expenses related to your rental property.Common rental property expenses include home insurance, heat, hydro, water and mortgage insurance. Claim the full amount of expenses if it is for a rental property, but only a percentage if it is for part of your principal residence.tilities are a major expense for landlords. You can claim a tax deduction for the portion of utilities related to your rental property or suite. Claim the full amount if you rent out the full property, or claim a portion if you rent out a suite in your principal residence.