House Hack Deductions

[Tyler LaVoie]

I am house hacking a triplex and the unit I moved needed to be fixed up (new subfloor, new flooring, replaced kitchen sink, bathroom sink and toilet, wall repairs, painting, and multiple dump runs).  Am I able to deduct those expenses even though I live in the unit, since they would have been repairs that I would have made if I was renting out that unit?

[Daniel Hyman]

Owner occupied expenses are not deductible. However, if you move out and rent the unit out, you can capitalize and depreciate it. So make sure to provide the expenses to your CPA and keep it in your records.