There are many ways for someone to begin their home search. In fact, statistics show that 73% of buyers felt that they would contact their real estate agent when the time came to make another home purchase. While it’s true that 65.2% of families own their primary home, many people are still realizing how beneficial it is to rent a property. As a landlord, it’s important to understand how certain items used inside of a rental can qualify for depreciation. It’s important to understand what qualifies for triple net lease depreciation and how it is affected by many factors. With that in mind, here are three types of items you can generally depreciate in regards to NNN properties.
It’s hard to find many properties that don’t provide at least one type of appliance to qualified renters. Therefore, it’s wise to know that appliances are often covered as items that can be depreciated. Many commercial property executives are shocked in regards to how many aspects of a rental property can be depreciated. It’s important to know that appliances are items that can often qualify in regards to triple net lease depreciation.
Certain triple net properties will be enclosed with various types of fencing. Many who are looking to sign an NNN lease as a tenant might be preferring properties with surrounding fences. With that in mind, it’s important to know that fencing around a property can qualify for depreciation. Many buyers feel that fencing helps to make them feel more protected. In addition, the 2013 National Association of Realtors’ Community Preference Survey found that 78% of those looking for a new home felt it neighborhood quality was more important than home size. Therefore, keeping fences around single tenant homes could be a larger selling factor than the size of the property itself.
- Rental Furniture
Many NNN investments look more accommodating after they have been filled with furniture. You’ll want to be aware that rental furniture is a popular type of triple net lease depreciation. In many cases, furniture is depreciated at either a five or nine year rate. However, you’ll want to consult with a qualified professional in order to ensure you’ve obtained accurate depreciation rates in regards to where you conduct business.
To summarize, there are several types of items that qualify for depreciation in regards to triple net properties. Many rental properties feature appliances that work well for renters that don’t want to spend thousands on these items. That being said, you’ll find that many types of appliances qualify for depreciation. Another common concern of renter is that these properties remain protected with fencing, another type of depreciation. Lastly, the furniture bought and placed inside furnished NNN rentals is another important item qualifying for triple net lease depreciation that you don’t want to forget about.