@Critter-3
In August I've hired a management company to oversea all repairs/maintenance work prior to renting the house out. Repainted, repaired leaking toilet...etc. These cost add to the basis of the property for depreciation purposes.
I beg to differ on that. When converting from personal use to a rental, repair and maintenance expenses incurred in preparing the property to rent the very first time are flat out not deductible. This is based on IRS Publication 527 at https://www.irs.gov/pub/irs-pdf/p527.pdf on page 18, column 3, first paragraph under "Example-Property Changed to Rental Use" where it lists examples of deductible expenses right below that first paragraph. One of the examples is "Miscellaneous repairs (after renting)". To me, this indicates that repair expenses incurred before the property was available for rent are not deductible at all, and definitely don't get added to the cost basis of anything.
It's also possible that any monies billed by the management company before the property was available for rent, may also not be deductible. Or at least the applicable amount incurred before the property was available for rent.
