12 Tax Write-Offs for Real Estate Agents in 2026
Self-employed real estate agents can deduct MLS dues, marketing and advertising, vehicle expenses, phone costs, continuing education, and many other business expenses. These deductions are crucial since most agents are independent contractors.
Deductible Expenses
| Deduction | Schedule C Line | Typical Amount |
|---|---|---|
| MLS Dues & Board Fees | Line 27 | $500 — $2,000/yr |
| Marketing & Advertising | Line 8 | $2,000 — $15,000/yr |
| Vehicle / Mileage | Line 9 | $5,000 — $15,000/yr |
| Phone & Communication | Line 25 | $600 — $1,500/yr |
| Continuing Education | Line 27 | $200 — $1,500/yr |
| Lockboxes & Signs | Line 22 | $200 — $1,000/yr |
| Brokerage Fees & Splits | Line 10 | $1,000 — $10,000/yr |
| CRM & Technology | Line 18 | $300 — $3,000/yr |
| Business Insurance | Line 15 | $300 — $1,500/yr |
| Photography & Staging | Line 8 | $1,000 — $5,000/yr |
| Client Gifts & Closing Gifts | Line 27 | $200 — $2,000/yr |
| Home Office | Line 30 | $1,500 — $5,000/yr |
MLS Dues & Board Fees
Marketing & Advertising
Vehicle / Mileage
Phone & Communication
Continuing Education
Lockboxes & Signs
Brokerage Fees & Splits
CRM & Technology
Business Insurance
Photography & Staging
Client Gifts & Closing Gifts
Home Office
Deduction Details
MLS Dues & Board Fees
Schedule C Line 27 · $500 — $2,000/yr
Multiple Listing Service (MLS) access fees, local and national realtor association dues, and board membership fees.
Marketing & Advertising
Schedule C Line 8 · $2,000 — $15,000/yr
Yard signs, flyers, mailers, Zillow/Realtor.com advertising, social media ads, Google ads, and print advertising for listings.
Vehicle / Mileage
Schedule C Line 9 · $5,000 — $15,000/yr
Driving to showings, open houses, client meetings, inspections, and closings. Real estate agents typically drive 10,000-20,000+ business miles per year.
Phone & Communication
Schedule C Line 25 · $600 — $1,500/yr
Business percentage of your cell phone plan. Many agents get a dedicated business line, which is 100% deductible.
Continuing Education
Schedule C Line 27 · $200 — $1,500/yr
License renewal CE courses, GRI, CRS, ABR designations, and other real estate certifications required or beneficial for your career.
Lockboxes & Signs
Schedule C Line 22 · $200 — $1,000/yr
Supra lockbox fees, yard signs, directional signs, open house signs, and riders for your listings.
Brokerage Fees & Splits
Schedule C Line 10 · $1,000 — $10,000/yr
Desk fees, transaction fees, franchise fees, and E&O insurance charges paid to your brokerage. Commission splits are not deductible — they reduce your gross income.
CRM & Technology
Schedule C Line 18 · $300 — $3,000/yr
CRM subscriptions (Follow Up Boss, kvCORE), transaction management (Dotloop, SkySlope), email marketing, and virtual tour software.
Business Insurance
Schedule C Line 15 · $300 — $1,500/yr
Errors and omissions (E&O) insurance, general liability, and any additional coverage beyond what your brokerage provides.
Photography & Staging
Schedule C Line 8 · $1,000 — $5,000/yr
Professional listing photos, drone photography, 3D virtual tours, video walkthroughs, and home staging for your listings.
Client Gifts & Closing Gifts
Schedule C Line 27 · $200 — $2,000/yr
Closing gifts for buyers and sellers. Limited to $25 per recipient per year for tax deduction purposes.
Home Office
Schedule C Line 30 · $1,500 — $5,000/yr
If you have a dedicated home office for your real estate business. Simplified method: $5/sq ft up to $1,500. Regular method: actual expenses.
General Freelancer Deductions
In addition to profession-specific write-offs, most self-employed individuals can claim these deductions:
Home Office Deduction
30 (Form 8829)
If you use a dedicated space in your home regularly and exclusively for business, you can deduct it. Simplified method: $5 per square foot, up to 300 sq ft ($1,500 max). Regular method: proportionate share of rent/mortgage, utilities, insurance, and repairs.
Self-Employment Tax Deduction
Form 1040, Line 15
You can deduct the employer-equivalent portion of self-employment tax (7.65% of net earnings) as an above-the-line deduction on your Form 1040.
Health Insurance Premiums
Form 1040, Line 17
Self-employed individuals can deduct 100% of health, dental, and vision insurance premiums for themselves, their spouse, and dependents.
Retirement Contributions
Form 1040, Line 16
Contributions to a SEP-IRA (up to 25% of net earnings), Solo 401(k), or SIMPLE IRA are deductible and reduce both income tax and self-employment tax.
Qualified Business Income (QBI) Deduction
Form 1040, Line 13
Most self-employed individuals can deduct up to 20% of qualified business income under Section 199A, subject to income limits and business type.
How TaxTidy Helps Real Estate Agents
TaxTidy automatically categorizes your receipts into the correct Schedule C lines, so you never miss a deduction. Snap a photo of any receipt and our AI instantly extracts the vendor, amount, and tax category — no manual data entry. At tax time, generate an audit-ready PDF report with all your real estate agent deductions organized and totaled.
Frequently Asked Questions
Are MLS dues tax-deductible for real estate agents?
Yes. MLS access fees, local realtor board dues, and National Association of Realtors (NAR) dues are all deductible on Schedule C Line 27 (Other expenses).
Can real estate agents deduct mileage?
Yes. Mileage to showings, open houses, client meetings, and property inspections is deductible. Keep a mileage log with date, destination, purpose, and miles driven. The standard mileage rate is 70¢/mile for 2025.
Are closing gifts to clients deductible?
Yes, but limited to $25 per recipient per year. A $200 closing gift basket only yields a $25 deduction per client. Consider lower-cost gifts that still show appreciation.
Can I deduct my commission split to the brokerage?
No. Commission splits are not a deduction — they reduce your gross income. Your 1099-NEC from the brokerage should already reflect only your share. Separate desk fees, transaction fees, and E&O charges are deductible on their respective lines.
TaxTidy provides expense organization tools based on the most current US tax law available to it. TaxTidy is not a CPA, Enrolled Agent, or licensed tax professional. All categorizations, deductions, and tax calculations are estimates. Please verify all data for accuracy and consult a certified tax professional before filing.
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