Carl
Level 15

Investors & landlords

There are two possible causes of this.

#!

Day of Personal Use - This is the number of days you lived in the property while it was classified as a rental. The period of time you lived in the house as your primary residence, 2nd home, vacation home or any other personal use,  *WHILE THE PROPERTY WAS NOT CLASSIFIED AS A RENTAL* does *NOT* count for any thing. So the number of days of personal use would be ZERO on both properties.

Days rented - For the old property, the day count starts on Jan 1, 2019 and ends on the day the last renter moved out. Your date of conversion to personal use *MUST* be at least one day *AFTER* the last renter moved out.

 For the new property, the day count starts on the first day a renter "COULD" have moved in. This day is normally the date you place the property "in service", as you are claiming that on that date a renter "COULD" have moved in. It doesn't matter if it took you three months to actually get a renter in their either.

#2

Business Use Percentage - Will be ONE HUNDRED PERCENT. During the time the property was classified as a rental, the property was "ONE HUNDRED PERCENT" business use. It must be, if you have ZERO days of personal use. What the property was used for while it was "NOT" classified as a rental, does "NOT" count for anything.