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~~Depreciation sounds like an expense, yet it is generally a ~~tax ~~fringe. On a $125,000 property, for example, the depreciation over 27 and one-half years comes to $3,636 every year. This ~~is ~~a tax deduction. In ~~the ~~early many years ~~of ~~your mortgage, interest will reduce earnings on ~~the ~~home and property so you ~~will ~~not ~~have ~~a very good profit~~. ~~In this time~~, ~~the depreciation is useful to reduce ~~taxable income ~~from other sources. In later years~~, ~~it will reduce systems tax obtain ~~a ~~on rental profits~~.

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