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have two opportunties and can't figure out which is better tax strategy in the long run.

The 2 options

1. LLC shareholder to a commercial property (store with apartment upstair). LLC is S type with multi shareholders (to include me).

Expenses: Upfront cost to buy percentage(?) of building. yearly property expense (escrow payment, utilities) around 36k. Note , there isn't a tenant in the store . But there are renters in the apartment.

Assuming I have to report any profit as personal income on 1040, schedule E (rental property). Is there any other tax implications?

2. Buy a residental house. Eligable for housing tax credit and tad straightforward on taxes.

Expenses: property tax (~7k) +the 30 yr mortgage and home expenses (closing cost,utlitles,etc )

Area NJ.
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