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Level 2
posted Feb 27, 2025 9:07:30 AM

Rental Fair Market Value

When using tax year 2024 TurboTax Premier, in step-by-step mode in Form 1040 Schedule E, it provides median rent based on number of bedrooms, State, and County. For Washington State, Kitsap County, and 3 bedrooms, 1) What is the source of the median rent data? 2) What calendar year is the median rent data from? 3) How many individual rents are used in calculating the median rent (sample size)? Thank you.

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1 Best answer
Expert Alumni
Feb 27, 2025 12:39:51 PM

The tool in TurboTax is for comparison purposes to assist taxpayers determine if they are receiving fair rent for their rental property. Since this information is not reported to the IRS, you can use any reliable resource to look up the median rent for your area. 

 

An authoritative source for fair market rent is HUD’s Office of Policy Development and Research Fair Market Rents.

1 Replies
Expert Alumni
Feb 27, 2025 12:39:51 PM

The tool in TurboTax is for comparison purposes to assist taxpayers determine if they are receiving fair rent for their rental property. Since this information is not reported to the IRS, you can use any reliable resource to look up the median rent for your area. 

 

An authoritative source for fair market rent is HUD’s Office of Policy Development and Research Fair Market Rents.