I currently own a rental property and 95% of the rent is taxable. I am looking at further real estate investment that might become source of income in future. With that in mind, what if i purchase second rental property, using loans, and then combine the two rental properties under a single (business) entity, so that my net-net income drops and hence i dont pay as much to uncle sam. Is this as slam dunk as i think or am i missing something?
