We have a rental we have kept empty since mid September to do work on. Since it is not offered for rent and some of our work would be considered "improvements" and we stayed in it for a few months while we did some of the work, I assume we have to convert it to Personal Use for that time. When the repairs and improvements are done, we intend to rent it again.
When converting it to personal use, I have to "dispose" of all the associated things that were depreciating. When it comes to our Refinancing Fees, the program is asking what to do with the remaining $5k of refinance fees, whether to (a) transfer to Other Expenses for the rental or (b) I'll enter them myself later/I refinanced with the same lender. The page seems to be the same one you get if you are disposing of the Fees because of a re-fi, but that's not what I'm doing. I know the fees are normally amortized over the life of the loan and you can expense them if you re-fi to another lender, but should I be expensing them when I convert the property to personal use? Should I pick (b) and just not put them anywhere and create them again when I convert back to a rental?
