I purchased a multi-unit rental property and closed on january 3rd, 2024. There were some expenses that were required for closing were made in december such as insurance and some agreed upon repairs shared by myself as the buyer and the seller to meet the lenders closing requirements. since these costs were incurred in december of 2023 and before i technically owned the rental, am i out of luck on those expenses ($10K)?
Secondly, i have done a ton of reading on the repair vs improvement deductions. This rental required extensive repairs - exterior siding, flooring, mold, paint, foundation, electrical, cabinets, countertops, fixtures, etc. Additionally I had to purchase new appliances - which were under $600 a piece so my understanding is that i can expense those instead of depreciating. In total repairs were over $50K to get the units livable plus interest and other expenses vastling exceeding my revenue by nearly $75k. I should be able to deduct all these as expenses against my families W2s correct vs depreciating since we did not do any capital improvements but got the rental back to its intended state?
