One of the key advantages that distinguishes real estate investment in the United States from Turkey is the depreciation system. Depreciation allows a property’s value to be expensed over a defined period for accounting and tax purposes.

Through this system, an investor can deduct a portion of the property’s value each year as an expense — even if the market value of the property is increasing. This reduces taxable income.

For example, if your annual rental income is 20,000 USD, after deducting operating expenses, adding depreciation can significantly lower the amount of income subject to tax.

What makes depreciation particularly powerful is that it:

✔ Reduces taxable net income
✔ Creates a paper expense without requiring additional cash outflow
✔ Supports long-term investment planning
✔ Maximizes benefits when combined with proper tax structuring and ITIN registration

In the U.S., the advantage of investing is not limited to rental income alone — it also comes from the structure of the tax system. For this reason, depreciation is a strategic financial tool.