Real Estate Term

Depreciation

A non-cash tax deduction reflecting the wear of a property's structure.

Reviewed 9 August 2026 by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Explanation

Residential investment property is depreciated over 27.5 years on a straight-line basis. Land is not depreciable.