Carl
Level 15

Investors & landlords

If the new owners rented the property from you before you closed on the sale, the rental income is reported on SCH E. But if it was only for one month, you "can" just add what they paid you for rent, to what they paid you for the house. Dealing with the SCH E for one month of rental income is a real PITA. Since you're not required to depreciate the property (because it was rented for less than a year) I'd just add the rent to the sales price and not deal with the SCH E at all.