I owned a rental property in 2022 but didn't sell it until 2023 because we were fixing it up. Is it still considered a rental for expense purposes?

cboharvey · ‎April 28, 2025

Can I deduct expenses for a rental property that is no longer being rented?

RobertB4444 · ‎April 29, 2025

No. Once the rental property is no longer 'available for rent' then you can't deduct expenses for it. The costs of preparing it for sale are added to the basis of the property to reduce the gain on the sale when it happens. You'll total up these costs and - along with any costs from the closing statement - enter them into TurboTax as 'expenses of the sale'.

@cboharvey

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

View solution in original post

RobertB4444 · ‎April 29, 2025

No. Once the rental property is no longer 'available for rent' then you can't deduct expenses for it. The costs of preparing it for sale are added to the basis of the property to reduce the gain on the sale when it happens. You'll total up these costs and - along with any costs from the closing statement - enter them into TurboTax as 'expenses of the sale'.

@cboharvey

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

Expert does your taxes

Do it yourself

Resources

Support

I owned a rental property in 2022 but didn't sell it until 2023 because we were fixing it up. Is it still considered a rental for expense purposes?