- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Investors & landlords
Any improvements or repairs done while the property was not a rental would not be considered 'Rental Expenses'.
What you can do is add all you spent to improve the property before renting it again, to the Cost Basis you use when renting the property again (or to the Cost Basis when you sell the property). This will increase the Depreciation you get each year (if you rent again), or decrease the Capital Gain (if you sell the property).
For example, if your property was worth 100K and you spent 12K fixing it up, it is now worth 112K, whatever you do with it next.
In TurboTax, you would indicate that you returned the rental property to Personal Use in January 2024 (give date renter moved out). You would still claim Property Tax, Mortgage Interest, and any expenses for the month of January prior to that date.
**Mark the post that answers your question by clicking on "Mark as Best Answer"