STR Loophole possible buying in Dec 2024?

[Heidi Fischer]

Hello

I'm a high W2 earner and have been looking for a STR and finally went into contract but can't close until mid-end of December 2024. Would I be eligible to take the bonus depreciation on my 2024 taxes? If I can get 2 different renters in before Jan 1 2025-is still possible by obviously getting a cost seg.

Also, would all of the house hunting, going out to see properties, research (calling city for license/map searching) and buying the furnishings count toward the 1 of 7 qualifications IRS demands in addition to the 2 Airbnb bookings-preparing home, cleaning, set up etc?

Or would it be better to just close in 2025-knowing the bonus will be less? Is it still 80% for 2024? I’ve read conflicting numbers -either 80% or 60%. 

I really appreciate anyone’s help :) 

Also if anyone knows an excellent tax strategist/CPA/ STR experience in Las Vegas-please drop a name-that would be so helpful. Feeling overwhelmed and nervous about an audit!!!

Thank you kindly. 

[Heidi Fischer]

Quote from @Michael Plaks:

@Heidi Fischer

I just answered your question in great detail in a separate long post:
https://www.biggerpockets.com/forums/51/topics/1220969-expla...

EXCELLENT POST! Everyone should check that out.