In addition to what xmasbaby0 provided, for your property improvements, file that paperwork with your closing statement. The property improvements add to your cost basis and will be of no benefit until you sell the property, convert it to a rental, or you die. Understand what a property improvement is to. Some folks think repairs and some routine maintenance costs are property improvements. They are not.
Property Improvement.
Property improvements are expenses you incur that add value to the property. Property improvements can be done at any time after your initial purchase of the property. It does not matter if it was your residence or a rental at the time of the improvement. It still adds value to the property.
To be classified as a property improvement, two criteria must be met:
1) The improvement must become "a material part of" the property. For example, remodeling the bathroom, new cabinets or appliances in the kitchen. New carpet. Replacing that old Central Air unit.
2) The improvement must add "real" value to the property. In other words, when the property is appraised by a qualified, certified, licensed property appraiser, he will appraise it at a higher value, than he would have without the improvements.
