determining basis for depreciation : frmr res. rented in 2015

[Gary Kline]

I bought a lot in Colorado Springs, CO in 1998, had a house built on it in 2000, lived there until 2005 then moved away. Relatives lived there paying below market or no rent until 2014. I rented it out at fair market rate in 2015. Now that I'm working on my 2015 taxes I need to figure out the depreciation. I've been doing some reading since I didn't know much about accounting or tax laws regarding rental real estate and wanted to see if I have it right as far as determining the basis for the property for depreciation purposes. I understand that the land value is not depreciable but is part of the basis. Are closing costs for the lot loan depreciated over 27.5 yrs? What about the construction loan closing costs? I also had to get regular loan before moving in, so can I depreciate the closing costs of all 3 loans over 27.5 yrs?

I had to do some repair work before renting it out. This was done and paid for in 2014 so I don't think I can claim it as a startup cost. But can I add these costs to the basis? The market value is higher than the actual cost.

I added central A/C in 2015 soon after I put the house on the rental market but before it rented. The cost was $2991. Turbo Tax put half the cost as depreciated over 5 yrs and gave me an expense deduction for 2015 of half the cost. Is this right? Could I use one of the safe harbor provisions to make the full cost an expense for 2015? What about section 179? I am claiming active participation. 

I would like to get your opinions about how to handle this.

I probably need to see a CPA for some of this. This is the only rental property I have. What do you think would be a reasonable charge for doing my schedule E? Can you recommend a CPA in the Denver, CO area? 

Thank you for your help.

Gary

[David McIlwaine]

I have a great CPA in the Denver area who specializes in investment clients.  Reach out privately and I'll be happy to share information.  I don't want to post openly because I'm not sure how much more business he can handle.  He has a very robust practice.