Can you also please comment on the 51% business use input on line 6, where I added the 33 days the condo was vacant to the 153 days it was leased?
For starters, it's not 51% business use. It's ONE HUNDRED PERCENT business use. What you enter is the percentage of business use *after* you converted it to a rental.
The days must add up to the days in service. So you have 120 days rented and 33 days vacant with no personal use. That adds up to 153. Days vacant will make no difference to depreciation or anything else really. What does make a difference is if you had any personal use days *after* it was converted to a rental. What you used the property for before it was a rental is irrelevant and just doesn't count for anything.
You also enter the total of all expenses incurred *after* it was converted to a rental, because those expenses are 100% deductible on the SCH E. You don't pro-rate anything. (one possible exception below).
Enter the total mortgage interest paid. The program itself will prorate between SCH E and SCH A based on the in service date.
Enter the total property taxes paid and the program will prorate between SCH E and SCH A for you.
Now with the property insurance, that "may" have to be prorated manually by you, but not sure. You can check it both ways. Property insurance is a SCH E deduction for the period of time it was a rental. Property insurance is *not* deductible at all for the period of time it was not a rental. I reinterate; property insurance is *NOT* a SCH A itemized deduction. You flat out can not deduct property insurance on "personal use" property. Period.
Finally, take note that if the total of all of your SCH A itemized deductions do not exceed your standard deduction, then not only will the SCH A deductions not help, but a SCH A will not even be generated. You'll just take the standard deduction. ($12,550 filing MFS or single, and $25,100 if filing joint). So pro-rating and itemizing everything manually may be a waste of time of your part.
