D
onald Trump's agenda prioritizes tax cuts, deregulation, and policies that benefit investors, presenting both opportunities and challenges for real estate professionals. Key aspects of his proposed tax policies include:

    Making the 2017 Tax Cuts and Jobs Act permanent to shield middle-income earners from tax increases.

    Restoring 100% bonus depreciation to incentivize development and upgrades.

    Reducing regulations on development and property use, simplifying permit processes and lowering costs.

    Extending Opportunity Zones with enhanced tax incentives for long-term investments in distressed communities.

    Maintaining or reducing capital gains taxes to benefit real estate investors relying on asset appreciation.

    Preserving 1031 Like-Kind Exchanges to defer taxes on property sales when reinvesting in similar properties.

    Experts anticipate Trump's pro-business agenda will boost capital in the real estate sector, with potential Federal Reserve rate cuts encouraging borrowing and investment. However, an increase in tariffs could make imported materials more expensive, reducing cash flows from renovation projects. Additionally, extending tax provisions without offsets may add pressure to the national debt. Real estate investors should engage in proactive tax planning and consult advisors to maximize benefits in a changing regulatory environment.