Some Real Estate Agent Expenses to Track



1. Vehicle Expenses

Since real estate agents often drive to properties, client meetings, and open houses, vehicle expenses can be a major deduction. You can deduct:

  • Mileage (using the IRS standard mileage rate)

  • Gas, maintenance, and repairs

  • Insurance and registration fees

  • Car loan interest (if the vehicle is used for business)

  • Lease payments (if leasing)

  • Depreciation (if owned)

  • Parking and tolls

2. Marketing & Advertising

Promoting your services is deductible, including:

  • Business cards and flyers

  • Online ads (Google, Facebook, Zillow, etc.)

  • Website and domain fees

  • Promotional materials (yard signs, brochures)

  • Sponsorships and event marketing

3. Office Expenses

Whether you have a home office or rent an office, you can deduct:

  • Rent or coworking space fees

  • Office furniture and equipment

  • Utilities and internet (for home office, a percentage is deductible)

  • Office supplies (paper, pens, printer ink, etc.)

4. Professional Fees & Licensing

Deductions include:

  • Real estate license renewal

  • Continuing education and training

  • MLS (Multiple Listing Service) fees

  • National and local real estate association dues

  • Brokerage desk fees

  • Legal and accounting services

5. Client & Business Meals

Meals with clients or business partners can be deducted at 50% of the cost. Keep receipts and note the business purpose.

6. Insurance

Deductible insurance expenses include:

  • Errors & Omissions (E&O) insurance

  • General business liability insurance

  • Health insurance (self-employed agents may qualify for a deduction)

7. Technology & Software

Deductions include:

  • CRM (Customer Relationship Management) software

  • Real estate apps and tools (e.g., Zillow Premier Agent, DocuSign)

  • Cloud storage and other subscription services

8. Commission & Referral Fees

  • Commissions paid to other agents

  • Referral fees to other realtors or lead generation services

9. Education & Training

  • Real estate seminars, webinars, and courses

  • Books and industry publications

  • Coaching and mentorship programs

10. Travel & Lodging

If you travel for business (e.g., conferences, out-of-town clients), you can deduct:

  • Airfare and transportation

  • Hotel stays

  • Meals (50% deductible)

11. Gifts & Client Appreciation

  • Gifts to clients (up to $25 per recipient per year)

  • Closing gifts (within IRS limits)

12. Depreciation & Equipment

For assets used in your business, you may be able to depreciate:

  • Computers, tablets, and smartphones

  • Cameras and video equipment for property marketing

13. Retirement Contributions

Self-employed real estate agents can deduct contributions to:

  • SEP IRA

  • Solo 401(k)

  • SIMPLE IRA

14. Home Office Deduction (if applicable)

If you use a dedicated space in your home for business, you can deduct:

  • A portion of rent/mortgage

  • Utilities (electricity, internet)

  • Property taxes and home insurance