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Updated about 2 years ago,

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6
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3
Votes
Levi Lais
3
Votes |
6
Posts

Question regarding multiple CapX depreciation timelines

Levi Lais
Posted

So we purchased a house in 2020, invested about $35K into a rehab, started renting it out in January, 2021 with a basis of $137,870.  This July of 2022 (18 months later) we invested another $40K or so into capital improvements.  As far as depreciation goes, does the $40K 1) have its own timeline that depends on what was done?, 2) get added to the basis and essentially only have 26 years of depreciation (27.5 - 1.5 years), 3) go onto its own, separate 27.5 year timeline, or 4) something different and if so what?

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