Your property did not become a rental property until you "put it in service" which means you made it available for rent. You said the renovations lasted until late December. if you made it available for rent as of January 1, 2025 it became a rental property on January 1. That is the date your expenses for that property began to be deductible. Prior to that, none of your expenses are deductible as rental expenses. You must capitalize (add to the cost basis of your property) all of your costs during the period you were preparing the property for rental. The same with your renovation costs - you don't expense them, you add them to the cost of the property and you will depreciate them over 27 1/2 years. Based on the information in your question, you have nothing to report on your 2024 tax return, unless you made it available to rent in December of 2024. A final note, make sure you separate the land from the building and set them up as separate assets - land is not depreciated.
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