Depreciation just means 'a decrease in value due to using the thing'. You're using the house so the house is decreasing in value as you use it. You get credit for that.
You're going to depreciate YOUR value in the house. That may have no bearing on what the house is worth. It is usually just what you paid for the house. In your case you would add to that what you paid for the renovations. But only what you can find receipts for. Estimated costs aren't counted unfortunately.
Once you have that total you'll enter it into TurboTax. That is referred to as your 'basis' in the property. If you were to do renovations like add a new porch or roof then that would also add to your basis.
TurboTax will handle the depreciation for you. Just go ahead and type in the information about your rent house.
@Tonkasuh
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
