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Level 2
posted Sep 1, 2023 9:01:22 PM

Figuring out ownership percent for depreciation

Hello,

So my sibling and I own two homes, one was purchased under our name and the second was gifted to us by our parents. In home1 is where my sister and I live, and home2 is where our parents live, with both homes also having renters.

 

My understanding is since I own 50% of the home, and 50% of it is being rented out that's what I should be reporting for each home. So under Rental property info > general info > situations > renting a unit part of home > I should be saying Area of home rented is 50%.

Also in Ownership percentage I should be saying 50% as well. Is that correct? 

Thank you!

 

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1 Best answer
Level 15
Sep 3, 2023 6:49:15 AM
4 Replies
Level 15
Sep 2, 2023 7:56:53 AM


@talktoandyli wrote:

....in Ownership percentage I should be saying 50% as well. Is that correct? 


Your percentage of ownership is 50%, but to whom are you renting these properties and exactly what are they renting? Also, are any services being provided to any of the renters?

Level 2
Sep 2, 2023 11:42:32 PM

Hello,

So one Home1 my sister and I are in is a 3 story building. Both of us live on one floor, the second floor is being rented to a family/tenant. They get a garage space on the bottom floor(The other garage space is ours). Also some amenities like washer  dryer.

 

Home2 is a two story home, with my parents living on one floor and the second floor being rented out. There's also a washer & dryer. No garage space though.


So that means I'm renting out 50% for each home right?

 

Best Regards,

Andy

Level 15
Sep 3, 2023 6:49:15 AM
Level 2
Sep 4, 2023 12:23:32 PM

Thank you! That answers all my questions.