My rental house in Hawaii was affected by the volcanic eruption in 2018. It's value dropped a lot, but it is still usable. Can I deduct any of the lost value?
01240
1 Replies
MinhT
Expert Alumni
Jun 4, 2019 4:30:24 PM
No, unfortunately you cannot deduct the decrease in market value of your rental property. This loss is an unrealized loss which will be realized only when you sell the property.