We purchased a home in July 2024 that included a basement apartment. We advertised the apartment to friends and neighbors (but not publicly with a sign or internet posting) for a tenant beginning September 1. We almost had a renter sign a lease in October, but it fell through at the last minute - so we we had no rental income in 2024. We did not use the space for any personal use, and we had several repairs and improvement costs that impacted the apartment - which could create a loss on Schedule E combined with depreciation. Are we allowed to consider the apartment "in service" as of September 1 even though we did not put a sign in our yard or advertise on Craigslist/FBMarketplace?
