I'm looking to purchase a condo. Without getting into the details, it is likely that the wife and I will lose money on it for a portion of time. Can we treat the condo as a business, and can we write off the loss? How would we go about doing that? Would it be on a schedule C?
To complicate matters I already do some business through my own LLC.
Unless things go really bad the wife and I will never live in the condo. While it is nice, we want to retire into something a whole lot nicer. My intent is to rent it for income and/or sell at a profit.
For the short term, we will be "renting" it to my wife's grandmother at a deep discount.