Depreciation Being "Added Back" when held in 3 way LLC?

[Daniel Dietz]

Hello All,

I am working on refinancing my own primary residence and owning my rentals in a multi-member LLC seems to be affecting my ability to "add back" the depreciation that this can normally be a done with when held personally. 3 lenders have told me this.

I wondered if good lender like @Chris Mason or one of the tax pros out there could comment on if this is a Federal rule or a bank "overlay".

I am trying to get a 30 years fixed Fannie or Freddie loan. We even went over my Form 1065 K-1 box by box. My 1/3 show a -$805 loss in box #2, and also shows a +$4200 in box #19 (distributions).

Am I just out of luck here?  I have a second partnership with about the same figures too.

Thanks, Dan Dietz

[Natalie Kolodij]

No tax issue that I can think of. 

I'm curious as to why the depreciation can't be added back to a partnership as well. Someone please tag me when one of these lending genius' share.