Converting partial home rental to full home rental

Forum|Forum|1 year ago
March 30, 2025
1 reply
9 views

In 2023 I rented out 2 rooms in my primary residence to tenants. In 2024, I moved out of the home in April and started renting out the entire house. How do I handle this situation in TurboTax? Specifically, I'm wondering if I'm supposed to 1) try editing the original partial rental I set up last year, 2) set up an additional rental property that accounts for the portion of the house I started renting out in 2024 after I moved out, or 3) count the previous partial rental as disposed and start a new full rental?

Option #1 doesn't seem to work as it doesn't account for me changing the percentage of the home being rented partway through the year, so I'm guessing I would need to do Option #2 or #3? Which would be the best approach?

RobertB4444

Level 15

Actually, either option 2 or 3 will work. And they are about the same amount of work so there really isn't one I can recommend because it's easier.

I think I would create a new asset for the portion that was previously personal just in case I wanted to move back in so I wouldn't have to undo this again. But you seem to have a pretty good handle on this so do the one that works for you.

@jummus

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