However, the method by which you deduct them may differ. Operating expenses such as property management fees, pest control, and landlord-paid utilities. On the other hand, you can deduct rental losses on an investment property. The simple answer is that a second home is a property other than your primary home that you intend to live in some of the time. The offers that appear in this table are from partnerships from which Investopedia receives compensation. Which is the more tax-advantaged type of property?