Beeboppen
New Member

I report the costs of my existing rental properties on Schedule E. Where do I report the costs for searching for new rental properties, whether a purchase is made or not?

I report all of my rental properties on Schedule E. I am not a real estate agent and do not have my own business, but I am a real estate investor. However, I am always searching for new homes to purchase. Where do I report the costs incurred while searching for new properties (auto, meals, hotel, etc.)? Can I also report these on Schedule E? And can the time spent on searching for new properties be used in determining if I spend at least 750 hours per annum as a "real estate professional"?