Available for rent means that a tenant can move in at any moment. Most people who are trying to sell do not want a tenant making a mess of the unit. In addition, you would have to have a renter who would be willing to move in and then move out again at the drop of the hat when the sale goes through.
Expenses that are taken as a rental expense and sales expenses that are added to the basis of property are two totally different types of expenses. Mortgage interest and property taxes are not added to the basis, nor are any other expenses you would take on Schedule E.
The following sales expenses are allowed.
Sales Expenses for selling your property include:
- Sales commissions
- Advertising Expenses
- Legal Fees
- Broker Fees
- Transfer taxes
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