The basis starts with the purchase price of the home, if you purchased it. This could be different if you acquired it by inheritance or another manner other than purchase. Then, the cost of improvements can be added to the basis to arrive at your adjusted basis (because it is not the original basis). The adjusted basis is used to determine the gain or loss on the sale of the property.
The items you added to the property would be considered improvements. They should have been added during the time that you owned the property in order to include them as part of your adjusted basis.
Including the cost of improvements as 'adjustment of basis' would be accurate.
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