We sold our rental property in September. We owned it for 10 years and have rented since 2012. In April of this year we had extensive hail damage and had to have the roof replaced. Work was completed and we paid for the roof in June, our renters moved out at the end of July, and we sold the house in September. Do I need to set up the roof as a new assest, even though it was so close to the sale of the home, or can I use it towards my cost basis? Can I use the full cost of the roof or must I deduct any insurance reimbursement?
