Tax filing question

[Nate Maier]

Good Afternoon,

My girlfriend bought her first single family house this year in the middle of October.  She renovated it over the winter months and has a lease signed starting March 1st.  There were relatively significant cash outlays during the renovation (7-10K) that all happened in 2015.  She hasn't had any income from the property during that time as it has been vacant.

She is a full-time student with a part time job that pays around 20K a year.  Her parents pay her tuition and claim her as a dependent.  My question has to do with the losses associated with the acquisition.

Should she be claiming the loss or should she pass it to her parents?  Same goes for the depreciation of the property.  

Next year she expects to have a similar income level as well.

Any help is greatly appreciated.  Feel free to pm for my phone number to talk specifics

Thank you!

Nate