Owner Financing Tax Deductions from A Buyer's Stand Point

[Rachel Watson Hernandez]

Hi. I'm a Realtor who has also been investing for the last several years (currently flipping my second investment). I also have done my own taxes since age 19, including self-employment taxes for the past 12 years. I'm currently studying so that I can do them professionally, from a self-employed standpoint. (Bare with with me here, I'm both very detailed and have ADHD.) But something has me stumped...

So, I am currently flipping a house I bought in January 2022 (don't judge, slow and steady wins the race : ). Anyway, my question is, I paid a down payment of 5K and am making monthly payments of $700/month. (I'm in the process of getting the deed.)  I did have some utilities turned on for awhile and have paid for some electrical work and plumbing, in addition to paying for construction/dwelling insurance. (And yes, I've already searched for this answer prior to posting here, nor was it discussed in any of the schedule C sections in my tax courses.) I'm assuming I cannot claim any of this since I'm not currently making any profit off of this? Do I claim these costs in my cost basis when I eventually do sell it? Or am I just SOL and chalk it up to "cost of doing business?