It's hard finding clear answers online about depreciation, so I'm asking here.
I thought after we've rented a home for 27.5 years, then it can no longer be depreciated. Is that right? But in some places I read it was 30 years.
My parents bought a home we lived in for several years, and then we moved out, and my parents then continuously rented the home. So does the depreciation start when they started renting the home, not when they bought the home for them and their kids to live in?
The home was passed over to me several years ago, and it's continued to be rented. Is the depreciation the same, though it's changed hands? They didn't sell the home but passed it down to me.
I heard that depreciation can still be taken for a home if we've made capital improvements on it. Does that include renovations and repairs? Can you explain this some more?
Also, is depreciation another way to reduce tax if we have a rental property? I've read various stuff online that seems like depreciations is optional and not necessarily a good thing for owners.
