{
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“@type”: “ProfessionalService”,
“name”: “KDA Inc. u2014 Real Estate CPA Del Mar”,
“description”: “Specialized real estate CPA services for Del Mar, California investors. Cost segregation, 1031 exchanges, REPS, STR loophole, and entity structuring.”,
“url”: “https://kdainc.com/real-estate-cpa-del-mar-ca”,
“telephone”: “+1-800-KDA-TAXES”,
“areaServed”: {
“@type”: “City”,
“name”: “Del Mar”,
“containedInPlace”: {
“@type”: “State”,
“name”: “California”
},
“postalCode”: “92014”
},
“serviceType”: [
“Real Estate CPA”,
“Cost Segregation Analysis”,
“1031 Exchange Planning”,
“Real Estate Professional Status Qualification”,
“Short-Term Rental Tax Strategy”,
“Real Estate Entity Structuring”
],
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“name”: “Real Estate Tax Services”,
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“itemOffered”: {
“@type”: “Service”,
“name”: “Cost Segregation Study”
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“itemOffered”: {
“@type”: “Service”,
“name”: “1031 Exchange Planning”
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“@type”: “Offer”,
“itemOffered”: {
“@type”: “Service”,
“name”: “REPS Qualification”
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“@type”: “Offer”,
“itemOffered”: {
“@type”: “Service”,
“name”: “STR Loophole Strategy”
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“knowsAbout”: [
“Real Estate Tax Strategy”,
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{
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“@type”: “FAQPage”,
“mainEntity”: [
{
“@type”: “Question”,
“name”: “Should I hold my rental properties in an LLC?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The LLC question for Del Mar rental property owners is primarily about liability protection, not tax savings. A single-member LLC doesn’t change your tax treatment — you still report on Schedule E. However, an LLC does protect your personal assets from lawsuits related to the property. For investors with multiple properties, a separate LLC per property (or a series LLC in states that allow it) provides the strongest liability protection. KDA’s Del Mar team will advise on the optimal structure for your portfolio size and risk profile.”
}
}, {
“@type”: “Question”,
“name”: “How does inflation affect my real estate tax strategy?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “Inflation creates a ‘depreciation timing’ opportunity for Del Mar real estate investors. By front-loading depreciation through cost segregation and 100% bonus depreciation (now permanent under OBBBA), you take deductions when they’re worth the most — today’s dollars. This is especially valuable in high-inflation environments. The flip side: depreciation recapture at sale is based on nominal dollars, so the recapture tax may be less burdensome in real terms. KDA’s Del Mar real estate CPA team will model the inflation impact on your depreciation strategy and optimize the timing of deductions.”
}
}, {
“@type”: “Question”,
“name”: “What is a 721 exchange and how does it work for real estate investors?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “A 721 exchange is the ‘upgrade’ from a DST for Del Mar investors who want institutional real estate exposure with eventual liquidity. You contribute your property to a large REIT’s operating partnership, receive OP units (deferring all capital gains), and over time convert those units to publicly traded REIT shares. The conversion triggers the deferred gain — but if you hold the REIT shares until death, the stepped-up basis eliminates the gain entirely. KDA’s Del Mar team will explain the 721 exchange mechanics and determine whether it’s the right exit strategy for your portfolio.”
}
}, {
“@type”: “Question”,
“name”: “How does a cash-out refinance affect my taxes on rental property?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The tax treatment of a cash-out refinance is simple: no tax on the proceeds, regardless of how much equity you extract. This makes refinancing a far more tax-efficient way to access equity than selling. A Del Mar investor with $500,000 in equity who sells pays capital gains and depreciation recapture. The same investor who refinances pays nothing — and keeps the property appreciating. KDA’s team will model the refinance vs. sell comparison for your specific property and show you the after-tax difference.”
}
}, {
“@type”: “Question”,
“name”: “How do I pay my children through my real estate business to shift income?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “Paying your children for legitimate work in your real estate business is a legal income-shifting strategy that can save significant taxes. If your child is under 18 and you operate as a sole proprietorship or single-member LLC (not a corporation), their wages are exempt from FICA tax. Their wages are deductible to you at your marginal rate and taxed to them at their lower rate (often 0–10%). For a Del Mar investor in the 37% bracket paying a child $14,600 (the 2026 standard deduction), the tax savings are approximately $5,400. The work must be legitimate and the pay must be reasonable. KDA’s team will structure this strategy correctly.”
}
}, {
“@type”: “Question”,
“name”: “What is Real Estate Professional Status (REPS) and how do I qualify?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “REPS qualification requires meeting two tests: the 750-hour test (you must spend more than 750 hours in real property trades or businesses) and the majority-time test (real property activities must represent more than 50% of your total personal services). For a W-2 employee working 2,000 hours per year, the majority-time test is nearly impossible to meet — which is why the STR loophole is often more practical for employed investors. For full-time real estate investors, REPS is the gold standard. KDA’s Del Mar team will determine which path — REPS or STR loophole — is right for your situation.”
}
}, {
“@type”: “Question”,
“name”: “How does Airbnb income get reported on my tax return?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The Schedule E vs. Schedule C question for Airbnb income depends on services provided and average stay length. Most Del Mar Airbnb hosts report on Schedule E — which means no self-employment tax on profits, but passive activity rules apply to losses. The STR loophole converts those passive losses to active losses when you materially participate and average stay is ≤7 days. KDA’s team will review your Airbnb records, determine the correct reporting method, and maximize your deductions under either approach.”
}
}, {
“@type”: “Question”,
“name”: “What is a family limited partnership (FLP) and how can it benefit real estate investors?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “For Del Mar real estate investors planning to transfer wealth to the next generation, an FLP combines estate tax savings with operational efficiency. The valuation discount on LP interests (typically 20–35%) means you can transfer more wealth using less of your lifetime gift tax exemption. The FLP also provides creditor protection and centralizes management of multiple properties. KDA’s Del Mar real estate CPA team will model the estate tax savings from an FLP structure and coordinate with your estate planning attorney on implementation.”
}
}, {
“@type”: “Question”,
“name”: “Can a real estate CPA help me if I only own one rental property?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “Absolutely. Even a single rental property has significant tax complexity — depreciation schedules, repair vs. improvement rules, passive activity loss limitations, and state-specific filing requirements. KDA’s Del Mar team works with single-property landlords and helps them build the right foundation for future growth, including entity structure and record-keeping systems that scale as your portfolio expands.”
}
}, {
“@type”: “Question”,
“name”: “What is the difference between the STR loophole and Real Estate Professional Status?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The STR loophole is the ‘shortcut’ version of REPS for W-2 earners. REPS requires you to be a full-time real estate professional (750+ hours, majority of working time). The STR loophole only requires material participation in a specific short-term rental activity — which can be achieved with 100+ hours per year if no other person spends more time on the activity. Both strategies generate the same result: rental losses that offset active income. KDA’s Del Mar team will determine which strategy fits your lifestyle and income profile.”
}
}
]
}