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paulda2cisco
New Member

If I rent a 2nd house for 4 years, depreciate each of last 4 years... then in May decide to stop renting and put on market for sale, do I prorate to rental vs personal?

 
1 Reply
MarilynG
Expert Alumni

If I rent a 2nd house for 4 years, depreciate each of last 4 years... then in May decide to stop renting and put on market for sale, do I prorate to rental vs personal?

Yes, you will have to prorate your expenses on the Rental Property between Personal and Rental.  

In the Property Profile and in Assets/Depreciation in the Rental section, indicate that you 'converted to personal use' and the date (screenshot). 

If you enter Mortgage Interest and Property Tax as Itemized Deductions, TurboTax can calculate the amount of rental expense based on 'number of days of personal use' you enter in the Rental portion.  Other expenses you will need to calculate yourself. 

TurboTax will give you the amount of Prior Depreciation, plus any 2018 Depreciation to help figure your New Cost Basis for the sale of the rental property (screenshots).

Here's more info:

https://ttlc.intuit.com/replies/6510432

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