despite what TT may say, assessed values seldom reflect the depreciable basis. part of the question is did you buy the property for rental and make improvements before renting it? then your basis is your cost less land. subsequent changes in assessed value do not change the depreciable basis. Or did you use it for personal purposes such as your home before renting it? in that case. the depreciable basis of the home is the lower of Fair Market Value on the day you offered it for rental or your total cost less land. Again subsequent changes in appraised value do not change your depreciable basis.
