@Critter - I'm hoping you can help me figure this out. You said in a previous comment:"Condo's don't usually have a land value because you don't really own the land individually".
I am having confusion over determining my cost basis for a condo rental I own. For some reason in my county, the land value is 72% of the total value of my condo (according to my tax bill). That seems odd to me. So little is dedicated to the building. So that lowers how much I can deduct for depreciation.
So you are saying I can start with the original purchase price as my cost basis? So if I bought it in 2010 for $205,000 that would be my basis plus any other improvements I have made (and other allowable closing costs, etc)?
