@CescoP73 wrote:
but since I can’t claim that loss, it’s not helping anything.
You can't claim the loss NOW, but that loss is carried over to future tax returns until it CAN be used. Some or all of it may be able to be used if (a) your have passive income (such a profit from the rental), (b) your income falls under $150,000, or (c) you sell the home.
So you will eventually be able to use those losses.
No, unless you sell at a loss or at a minimal gain, you can't really do anything to avoid the tax on the depreciation when you sell the home.
