Using the area method to calculate, How do I account for shared space in a rental?
This circumstance is for my rental expenses as a live-in landlord (schedule E).
Turbotax mentions I could use the per person method. For example, if one person rents a bedroom in a 2br home that is 50% rental Space. Here is my situation below, please let me know how I schedule. What if I wanted to use the area method instead? How does that work?
The rental agreement gives the tenant full access to common areas.
So lets supposed the full unit is 820.
Do I subtract the unavailable part to include common areas? (Full sqft-my/landlord's room, 820-250= 570 )
OR
Do I include just their part? (Their room plus their bathroom, 240)
Again that's
Full area 820
Tenant area 240
Landlord area (unavailable to tenant) 250
Thanks!!!
