@Carl My scenario is similar to @shagbark except that I did not hold my rental property into 2020. I had normal rental income and expenses through 2018. I did not have any rental income during 2019, and then sold it in November 2019. Your Option 1 seems to be the best for my case. I did have plenty of repairs & improvements throughout 2019 before selling, but it sounds like none of that will get captured anywhere due to not having any rental income.
