Can I deduct improvements to a house I bought last year and am fixing up to rent though I have not yet rented it.

jhudson50 · ‎June 1, 2019

Vanessa · ‎June 1, 2019

Probably not. Depending on the types of improvements these are, they will need to be depreciated and not just deducted as an expense.

Also, you can not deduct rental property expenses until the property is ready to rent. So, if you are still fixing it up, it is not ready to rent so the expenses would not be deductible for 2018. If you have it ready to rent in 2019, you will be able to either expense or depreciate the improvements you are making depending on the type of improvements these are.

https://www.irs.gov/pub/irs-pdf/p527.pdf

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View solution in original post

Vanessa · ‎June 1, 2019

Probably not. Depending on the types of improvements these are, they will need to be depreciated and not just deducted as an expense.

Also, you can not deduct rental property expenses until the property is ready to rent. So, if you are still fixing it up, it is not ready to rent so the expenses would not be deductible for 2018. If you have it ready to rent in 2019, you will be able to either expense or depreciate the improvements you are making depending on the type of improvements these are.

https://www.irs.gov/pub/irs-pdf/p527.pdf

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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Can I deduct improvements to a house I bought last year and am fixing up to rent though I have not yet rented it.