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Updated about 7 years ago,
Depreciate or expense... property in service day of closing
My question is for the CPA's here...
I bought a duplex on July 11th this year, both sides were rented when I took over. I gave notice to both sides because they were under market by several hundred dollars and both units need some rehab. My question is since the property was in service when I bought it and was rentable, can I expense repairs made to the units during the vacant months? Some items are depreciated such as new kitchen cabinets, and flooring but other items like painting, subfloor repair, HVAC maintenance, locks, door handles, ect, can I expense those?
This property will have been vacant for 3-4 months total so very little income for the year.