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Ok, and I am drunk at the moment, But lets say you buy an apartment building for 500k, and your mortgate ammounts to 2500 a month. Well average joe schmo would like to make money on this property correct? wrong.... you would rather set up a real estate investment company that operates at margin, meaning it makes little to no money on whatever properties it owns. Why? because then it does not pay *any* taxes on these investments, yet it builds equity which the corp can borrow against without paying any real income tax on the properties and therefore releiving the owner of any real income tax. Any generated income from the properties can be used to purchase autos, homes, and any other imagineable expense as a write off to the corporation, up to a certian ammount, without paying taxes.
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