The Most Powerful Tax Incentive for Real Estate Investors Is Back: 100% Bonus Depreciation in 2025

If you're a real estate investor looking to grow your portfolio and build long-term wealth, 2025 just handed you a huge opportunity: 100% Bonus Depreciation is back.

This isn’t just another tax perk - it's one of the most beneficial tax incentives we’ve seen for real estate investors in a long time. It has the potential to significantly reduce your taxable income, boost cash flow, and accelerate your path to financial freedom.

But here’s the catch: you have to act fast.

Let’s break down what it means, who it benefits, and how to take advantage before the window closes.

What Is 100% Bonus Depreciation?

Bonus depreciation allows real estate investors to write off a large percentage of certain property components in the year they’re placed in service, rather than spreading the deduction out over decades.

In 2025, qualifying purchases made on or after January 20, 2025 and placed in service by December 31, 2025, are eligible for 100% bonus depreciation. That means:

✅ Immediate tax write-offs
✅ Reduced taxable income
✅ Increased short-term cash flow
✅ Greater reinvestment potential

This incentive is especially powerful for investors with high income or large tax liabilities and it can be a game-changer when it comes toscaling your portfolio or preparing for retirement.

Why This Matters for Investors

Timing your next investment strategically could help you:

• Accelerate your portfolio growth with freed-up capital
• Offset income taxes with immediate depreciation deductions
• Strengthen your retirement strategy by optimizing returns
• Reinvest faster thanks to higher cash flow

But the clock is already ticking. It’s not enough to buy the property - you must have it operational before year-end. Waiting until Q4 could mean missing out due to inventory shortages, delayed closings, or rehab timelines.

Talk to Your CPA Before You Buy

While this incentive is powerful, every investor’s situation is different. That’s why it’s critical to consult your CPA as soon as possible. Your tax professional can help you determine:

• If this strategy applies to your situation
• How much you could save
• What type of property makes the most sense
• The best timing for your purchase and rehab

Once you have the green light, we’re here to help with the financing side.

We Specialize in Real Estate Investment Financing

At BluPrint Home Loans, we work with real estate investors every day to structure smart financing solutions that support long-term success. Whether you’re purchasing a turnkey rental, renovating a small multi-family, or scaling your portfolio across multiple markets - we’ve got the expertise to help you move quickly and strategically.

Let’s Make Your Next Move Count

Call us today:  888-343-1043

Schedule a Call or Apply for Pre-Approval

Don’t miss your chance to leverage one of the most powerful tax tools available in 2025. Secure your next property, put it in service before year-end, and watch the benefits compound.

 Disclaimer: This blog post is for informational purposes only and is not intended as tax or financial advice. Please consult a licensed CPA to evaluate your specific tax situation. Equal Housing Lender. Make sure you understand the features associated with the loan program you choose, and that it meets your unique financial needs. Subject to Debt-to-Income and Underwriting requirements. This is not a credit decision or a commitment to lend. Eligibility is subject to completion of an application and verification of home ownership, occupancy, title, income, employment, credit, home value, collateral, and underwriting requirements. Not all programs are available in all areas. Offers may vary and are subject to change at any time without notice. BluPrint Home Loans is a Division of NFM Lending, LLC. For NFM Lending, LLC’s full agency and state licensing information, please visit www.nfmlending.com/licensing. NFM Lending, LLC's NMLS #2893 (www.nmlsconsumeraccess.org). © 2025 NFM Lending, LLC. America’s Common Sense Lender® Trade/service marks are the property of NFM Lending, LLC and/or its subsidiaries. Licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act. www.nfmlending.com.