Adjusting cost basis for sale of a home that was not occupied after being rented ? Recapture of depreciation during unoccupied period ?

[gmtex]

Stopped renting the home in October 2015. Did not reoccupy the house until I sold it in April 2016. Should I adjust (recapture) the cost basis of the house with the unclaimed depreciation from Oct 2015 to April 2016 ? Or did it stop depreciating on the last day of being rented on Oct 2015 ?

[Coleen3 · Accepted solution]

You would stop the depreciation on the last day rented. When you say you re-occupied the house, what do you mean by that? Did you move in and have it as a personal home or did you just make repairs?

[gmtex]

No it was never re-occupied before we sold it. That's what I meant.

[Coleen3]

Okay. End depreciation in October 2015.