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dm1234
New Member

I paid for pre-closing services (i.e. septic pump, inspections) in late 2015 for a rental property that i closed on in early 2016. Can I add them to my basis?

The exact costs were a home inspection, hvac inspection, pest inspection, and I paid to have the septic pumped in preparation for a septic inspection. These costs all occurred in late 2015 and I closed in early 2016. Are these valid costs to be added to my basis? And...does it matter that they occurred in a different calendar year than the actual purchase? 

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RichardG
New Member

I paid for pre-closing services (i.e. septic pump, inspections) in late 2015 for a rental property that i closed on in early 2016. Can I add them to my basis?

Yes, those are all valid expenses to add to your basis in the property.  It doesn't matter that you paid the expenses in the year before completing the purchase.

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1 Reply
RichardG
New Member

I paid for pre-closing services (i.e. septic pump, inspections) in late 2015 for a rental property that i closed on in early 2016. Can I add them to my basis?

Yes, those are all valid expenses to add to your basis in the property.  It doesn't matter that you paid the expenses in the year before completing the purchase.

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